Western Australia
Petroleum (Submerged Lands) Act 1982
Reprinted under the Reprints Act 1984 as at 6 August 1999
Petroleum (Submerged Lands) Act 1982
CONTENTS
Part I — Preliminary
1.Short title3
2.Commencement3
3.Repeal and transitional provisions3
4.Interpretation4
5.Further provisions as to “adjacent area”10
6.Meaning of certain references in Act10
7.Space above and below adjacent area12
8.Application of Act12
9.Petroleum pool extending into 2 licence areas12
10.Points, etc., to be ascertained by reference to Australian Geodetic Datum15
Part II — Administration of the Commonwealth adjacent area
11.“Commonwealth adjacent area”17
12.Minister as member of Joint Authority17
13.Minister as Designated Authority17
14.Delegations under Commonwealth Act17
15.Officers performing functions under Commonwealth Act18
Part III — Mining for petroleum
Division 1 — Preliminary
16.Delegation19
17.Graticulation of Earth’s surface20
18.Reservation of blocks21
18A.Issue of permits etc. in marine reserves21
Division 2 — Exploration permits for petroleum
19.Exploration for petroleum21
20.Advertisement of blocks22
21.Application for permits22
22.Grant or refusal of permit in relation to application23
23.Application for permit in respect of surrendered etc., blocks24
24.Application fee, etc.25
25.Consideration of applications26
26.Request by applicant for grant of permit in respect of advertised blocks27
27.Grant of permit on request28
28.Rights conferred by permit28
29.Term of permit28
30.Application for renewal of permit29
31.Application for renewal of permit to be in respect of reduced area29
32.Grant or refusal of renewal of permit31
33.Conditions of permit33
34.Discovery of petroleum to be notified34
35.Directions by Minister on discovery of petroleum34
36.Nomination of blocks as location35
37.Declaration of location36
38.Immediately adjoining blocks37
Division 2A — Retention leases for petroleum
38A.Application by permittee for lease38
38B.Grant or refusal of lease in relation to application39
38BA.Application of sections 38A and 38B where permit is transferred40
38C.Rights conferred by lease41
38D.Term of lease41
38E.Notice of intention to cancel lease41
38F.Application for renewal of lease43
38G.Grant or refusal of renewal of lease44
38H.Conditions of lease48
38J.Discovery of petroleum to be notified48
38K.Directions by Minister on discovery of petroleum49
Division 3 — Production licences for petroleum
39.Recovery of petroleum in adjacent area50
40.Application by permittee for licence50
40A.Application for licence by holder of lease52
41.Application for licence53
42.Determination of rate of royalty53
43.Notification as to grant of licence54
44.Grant of licence54
44A.Application of sections 41 to 44 where permit etc. transferred56
45.Variation of licence area56
46.Determination of permit as to block not taken up by licensee57
47.Application for licence in respect of surrendered, etc., blocks59
48.Application fee, etc.60
49.Request by applicant for grant of licence61
50.Grant of licence on request63
51.Grant of licences in respect of individual blocks64
52.Rights conferred by licence65
53.Term of licence65
54.Application for renewal of licence66
55.Grant or refusal of renewal of licence67
56.Conditions of licence70
58.Directions as to recovery of petroleum70
59.“Unit development”71
Division 4 — Pipeline licences
59A.Interpretation in Division 474
59B.Deemed location of portion of North Rankin Platform A Pipeline74
60.Construction, etc., of pipeline, etc.75
61.Acts done in an emergency, etc.76
62.Removal of pipeline, etc., constructed in contravention of Act77
63.Terminal station78
64.Applications for pipeline licence78
65.Grant or refusal of pipeline licence81
66.Rights conferred by pipeline licence 284
67.Term of pipeline licence85
68.Application of renewal for pipeline licence85
69.Grant or refusal of renewal of pipeline licence86
70.Conditions of pipeline licence88
71.Variation of pipeline licence on application by pipeline licensee89
72.Variation of pipeline licence by Minister90
73.Common carrier91
74.Ceasing to operate pipeline91
Division 5 — Registration of instruments
74J.Interpretation in Division 592
75.Register of certain instruments to be kept92
76.Particulars to be entered in register92
77.Memorials to be entered of permits, etc. determined, etc.93
78.Approval and registration of transfers94
79.Entries in register on devolution of title96
81.Approval of dealings creating, etc., interests, etc., in existing titles97
81A.Approval of dealings in future interests, etc.101
82.True consideration to be shown103
83.Minister not concerned with certain matters103
84.Power of Minister to require information as to proposed dealings104
85.Production and inspection of documents104
86.Inspection of register and documents105
87.Evidentiary provisions105
87A.Minister may make corrections to register106
88.Appeals107
89.Minister not liable to certain actions107
90.Offences107
91.Assessment of registration fee108
92.Appeal against Minister’s determination of fee108
93.Exemption from stamp duty108
Division 6 — General
94.Notice of grants of permits, etc., to be published109
95.Date of effect of permits, etc.109
96.Commencement of works110
97.Work practices110
97A.Conditions relating to insurance112
98.Maintenance etc., of property113
99.Sections 97, 97A and 98 to have effect subject to this Act, etc.114
100.Drilling near boundaries115
101.Directions115
102.Compliance with directions118
103.Exemption from conditions118
104.Surrender of permits, etc.120
105.Cancellation of permits, etc.122
106.Cancellation of permit, etc., not affected by other provisions124
107.Removal of property, etc., by permittee, etc.125
108.Removal of property, etc., by Minister127
109.Payment by instalments127
110.Penalty for late payments of instalments, etc.128
111.Special prospecting authorities128
112.Access authorities131
113.Sale of property135
115.Minister, etc., may require information to be furnished, etc.136
116.Power to examine on oath137
117.Failing to furnish information, etc.138
118.Release of information138
119.Safety zones146
120.Discovery and use of water147
121.Survey of wells, etc.147
122.Records, etc., to be kept148
123.Scientific investigation148
124.Interference with other rights149
124A.Liability for payment of compensation to native title holders150
125.Inspectors150
126.Powers of inspectors151
127.Property in petroleum152
128.Suspension of rights conferred by permit152
129.Certain payments to be made by State to Commonwealth153
130.Determination to be disregarded in certain cases153
131.Continuing offences153
132.Persons concerned in commission of offences154
133.Prosecution of offences154
134.Orders for forfeiture in respect of certain offences155
135.Disposal of goods156
136.Time for bringing proceedings for offences156
137.Judicial notice156
138.Service156
138A.Service of documents on 2 or more permittees, etc.158
Division 7 — Fees and royalties
139.Permit fees159
139A.Lease fees159
140.Licence fees160
141.Pipeline licence fees160
142.Time of payment of fees160
143.Royalty160
144.Reduction of royalty in certain cases162
145.Royalty not payable in certain cases162
145A.Royalty value163
146.Ascertainment of well‑head164
147.Ascertainment of value164
148.Ascertainment of quantity of petroleum recovered164
149.Payment of royalty165
150.Penalty for late payment165
151.Fees, royalties and penalties debts due to the State165
Part IV — Regulations
152.Regulations166
Schedule 1
Schedule 2
Schedule 3
Schedule 4
Notes
Defined Terms
Reprinted under the Reprints Act 1984 as at 6 August 1999
Petroleum (Submerged Lands) Act 1982
An Act to make provision with respect to the exploration for and the exploitation of the petroleum resources, and certain other resources, of certain submerged lands adjacent to the coast of Western Australia, to repeal the Petroleum (Submerged Lands) Act 1967, and for incidental and other purposes.
Whereas in accordance with international law Australia as a coastal State has sovereign rights over the continental shelf beyond the limits of Australian territorial waters for the purpose of exploring it and exploiting its natural resources:
And whereas Australia is a party to the Convention on the continental shelf signed at Geneva on 29 April 1958 in which those rights are defined:
And whereas by the Seas and Submerged Lands Act 1973 of the Commonwealth it is declared and enacted that the sovereignty in respect of the territorial sea of Australia and in respect of the airspace over it and in respect of its sea‑bed and subsoil, and the sovereignty in respect of certain internal waters of Australia and in respect of the airspace over those waters and in respect of the sea‑bed and subsoil beneath those waters, is vested in and exercisable by the Crown in right of the Commonwealth:
And whereas the Parliaments of the States and the Legislative Assembly of the Northern Territory have certain legislative powers in respect of the sea‑bed and subsoil referred to in the last preceding recital and the Parliament of the Commonwealth has vested in the Crown in right of each of the States and the Crown in right of the Northern Territory certain proprietary rights in respect of that sea‑bed and subsoil:
And whereas it has been agreed between the Commonwealth, the States and the Northern Territory that, in place of the scheme provided for by an Agreement between the Commonwealth and the States dated 16 October 1967 —
(a)legislation of the Parliament of the Commonwealth in respect of the exploration for and the exploitation of the petroleum resources of submerged lands should be limited to the resources of lands beneath waters that are beyond the outer limits of the territorial sea adjacent to the States and the Northern Territory (being outer limits based, unless and until otherwise agreed, on the breadth of that sea being 3 nautical miles), and that the States and the Northern Territory should share in the administration of that legislation;
(b)legislation of the Parliament of each State should apply in respect of the exploration for and the exploitation of the petroleum resources of such part of the submerged lands in an area adjacent to the State as is on the landward side of the waters referred to in paragraph (a);
(c)legislation of the Legislative Assembly of the Northern Territory should apply in respect of the exploration for and the exploitation of the petroleum resources of such part of the submerged lands in an area adjacent to the Northern Territory as is on the landward side of the waters referred to in paragraph (a); and
(d)the Commonwealth, the States and the Northern Territory should endeavour to maintain, as far as practicable, common principles, rules and practices in the regulation and control of the exploration for and the exploitation of the petroleum resources of all the submerged lands referred to above that are on the seaward side of the inner limits of the territorial sea of Australia:
Be it therefore enacted by the Queen’s Most Excellent Majesty, by and with the advice and consent of the Legislative Council and the Legislative Assembly of Western Australia, in this present Parliament assembled, and by the authority of the same, as follows: —
Part I — Preliminary
This Act may be cited as the Petroleum (Submerged Lands) Act 1982 1.
(1)This Act shall come into operation 1 on the first day on which the following Acts of the Commonwealth, with or without amendments, are in operation, namely, the Seas and Submerged Lands Amendment Act 1980, the Coastal Waters (State Powers) Act 1980, the Coastal Waters (State Title) Act 1980 and the Petroleum (Submerged Lands) Amendment Act 1980.
(2)The Minister shall as soon as is practicable after the commencement of this Act cause notice of the commencement to be published in the Gazette.
3.Repeal and transitional provisions
(1)The Petroleum (Submerged Lands) Act 1967 is repealed.
(2)The scheme agreed on between the Governments of the Commonwealth, the States and the Northern Territory, being the scheme set out in Schedule 3, so far as that scheme relates to the operation of this Act, has the force of law by virtue of this subsection.
(3)For the purposes of the scheme set out in Schedule 3, as in force by virtue of subsection (2), this Act is the State Act of Western Australia and the Minister is the Designated Authority under this Act.
(4)A reference to the Designated Authority in a new permit (within the meaning of the scheme set out in Schedule 3) or a new pipeline licence (within the meaning of that scheme) shall for the purposes of that permit or pipeline licence and this Act be read as a reference to the Minister.
(5)Schedule 4 has the force of law by virtue of this subsection.
In this Act, unless the contrary intention appears —
“access authority” means an access authority under Part III;
“adjacent area” means, subject to section 5(1), so much of the area the boundary of which is described in Schedule 2 as is part of the territorial sea of Australia, including the territorial sea adjacent to any island forming part of Western Australia, and includes, subject to section 5(2), an area which —
(a)is within the area the boundary of which is described in Schedule 2;
(b)is seaward of the coastline of Western Australia at mean low water and landward of the inner limit of the territorial sea of Australia; and
(c)was, immediately before the commencement of this Act, the subject of an exploration permit for petroleum subsisting under the Commonwealth Act;
“application for a primary licence” means an application under section 40(1) or (2) or 40A(1) or (2);
“application for a secondary licence” means an application under section 40(3) or 40A(3);
“approved” means approved by the Minister;
“block” means a block constituted as provided by section 17;
“Commonwealth Act” means the Petroleum (Submerged Lands) Act 1967 of the Commonwealth as amended from time to time and any Act of the Commonwealth with which that Act is incorporated;
“construct” includes “place” and “construction” has a corresponding meaning;
“Convention” means the Convention entitled “Convention on the Continental Shelf” signed at Geneva on 29 April 1958, being the Convention a copy of which in the English language is set out in Schedule 1;
“corresponding law” means an Act of another State or a law in force in a Territory of the Commonwealth giving effect to the agreement between the Commonwealth, the States and the Northern Territory referred to in the preamble to this Act;
“Division” means a Division of the Part in which the term appears;
“document” includes any map, book, record or writing;
“good oil‑field practice” means all those things that are generally accepted as good and safe in the carrying on of exploration for petroleum, or in operations for the recovery of petroleum, as the case may be;
“graticular section” means a section referred to in section 17;
“inspector” means a person appointed under section 125;
“Joint Authority” means the Commonwealth‑Western Australia Offshore Petroleum Joint Authority established by the Commonwealth Act;
“lease” means a retention lease under Part III;
“lease area” means the area constituted by the blocks that are the subject of a lease;
“lessee” means the registered holder of a lease;
“licence” means a production licence for petroleum under Part III;
“licence area” means the area constituted by the blocks that are the subject of a licence;
“licensee” means the registered holder of a licence;
“location” means a block or blocks in respect of which a declaration under section 37 is in force;
“natural resources” has the same meaning as in the Convention;
“partly cancelled” means —
(a)in relation to a permit or lease or licence, cancelled as to one or more but not all of the blocks the subject of the permit or lease or licence; and
(b)in relation to a pipeline licence, cancelled as to a part of the pipeline the subject of the licence;
“partly determined”, in relation to a permit or lease, means determined as to one or more but not all of the blocks the subject of the permit or lease;
“permit” means an exploration permit for petroleum under Part III;
“permit area” means the area constituted by the blocks that are the subject of a permit;
“permittee” means the registered holder of a permit;
“petroleum” means —
(a)any naturally occurring hydrocarbon, whether in a gaseous, liquid or solid state;
(b)any naturally occurring mixture of hydrocarbons, whether in a gaseous, liquid or solid state; or
(c)any naturally occurring mixture of one or more hydrocarbons, whether in a gaseous, liquid or solid state, and one or more of the following, that is to say, hydrogen‑sulphide, nitrogen, helium and carbon‑dioxide,
and includes any petroleum as defined by paragraph (a), (b) or (c) that has been returned to a natural reservoir in the adjacent area;
“petroleum pool” means a naturally occurring discrete accumulation of petroleum;
“pipeline” means a pipe or system of pipes in the adjacent area within the meaning of section 59A for conveying petroleum but does not include a pipe or system of pipes —
(a)for returning petroleum to a natural reservoir;
(b)for conveying petroleum for use for the purposes of petroleum exploration operations or operations for the recovery of petroleum;
(c)for conveying petroleum that is to be flared or vented; or
(d)for conveying petroleum from a well to a terminal station without passing through another terminal station, whether the terminal station to which the petroleum is conveyed is in that adjacent area or not;
“pipeline licence” means a licence under Part III to construct and operate a pipeline;
“pipeline licensee” means the registered holder of a pipeline licence;
“primary entitlement” means —
(a)in relation to a permittee, the number of blocks forming part of a location in the permit area in respect of which that permittee may make an application under section 40(1); and
(b)in relation to a lessee, the number of blocks in the lease area in respect of which that lessee may make an application under section 40A(1);
“primary licence” means a licence granted on an application under section 40(1) or (2) or 40A(1) or (2);
“pumping station” means equipment for pumping petroleum or water and includes any structure associated with that equipment;
“register” means the register kept in pursuance of Division 5 of Part III;
“registered holder”, in relation to a permit, lease, licence, pipeline licence, special prospecting authority or access authority, means the person whose name is for the time being shown in the register as being the holder of the permit, lease, licence, pipeline licence, special prospecting authority or access authority;
“Registration Fees Act” means the Petroleum (Submerged Lands) Registration Fees Act 1982;
“regulations” means regulations made under section 152;
“relinquished area” means —
(a)in relation to a permit, lease or licence that has expired, the area constituted by the blocks in respect of which the permit, lease or licence was in force but has not been renewed;
(b)in relation to a permit or lease that has been wholly determined or partly determined, the area constituted by the blocks as to which the permit or lease was so determined;
(c)in relation to a permit or licence that has been wholly cancelled or partly cancelled, the area constituted by the blocks as to which the permit or licence was so cancelled;
(ca)in relation to a lease that has been wholly cancelled, the area constituted by the blocks in respect of which the lease was in force;
(d)in relation to a pipeline licence that is no longer in force, the part of the adjacent area in which the pipeline was constructed;
(e)in relation to a pipeline licence that has been wholly cancelled or partly cancelled, the part of the adjacent area in which the pipeline or the part of the pipeline, as the case may be, was constructed; and
(f)in relation to a special prospecting authority or access authority that has been surrendered or cancelled, or has expired, the area constituted by the blocks in respect of which that authority was in force;
“royalty period”, in relation to a permit or licence, means —
(a)the period from and including the date from which the permit or licence has effect to the end of the month of the year during which that date occurs; and
(b)each month thereafter;
“royalty value” has the meaning applicable under section 145A(1) or (2);
“secondary licence” means a licence granted on an application under section 40(3) or 40A(3);
“secondary line” means a pipe or system of pipes for any purpose referred to in paragraphs (a), (b), (c) and (d) of the definition of “pipeline”;
“special prospecting authority” means a special prospecting authority under Part III;
“tank station” means a tank or system of tanks for holding or storing petroleum and includes any structure associated with that tank or system of tanks;
“terminal station” means a pumping station, a tank station or a valve station declared to be a terminal station under section 63 or under the Commonwealth Act or a corresponding law;
“valve station” means equipment for regulating the flow of petroleum and includes any structure associated with that equipment;
“vessel” means a vessel used in navigation, other than air navigation, and includes a barge, lighter or other floating vessel;
“water line” means a pipe or system of pipes for conveying water in connection with petroleum exploration operations or operations for the recovery of petroleum;
“well” means a hole in the sea‑bed or subsoil made by drilling, boring or any other means in connection with exploration for petroleum or operations for the recovery of petroleum, but does not include a seismic shot hole;
“wholly cancelled”, in relation to a permit, lease, licence or pipeline licence, means cancelled as to all the blocks, or as to the whole of the pipeline, the subject of the permit, lease, licence or pipeline licence;
“wholly determined”, in relation to a permit or lease, means determined as to all the blocks the subject of the permit or lease.
[Section 4 amended by No. 12 of 1990 s.160 2; No. 11 of 1994 s.8.]
5.Further provisions as to “adjacent area”
(1)If at any time the breadth of the territorial sea of Australia is determined or declared to be greater than 3 nautical miles, the definition of the “adjacent area” in section 4 or 59A continues to have effect as if the breadth of the territorial sea of Australia had continued to be 3 nautical miles.
(2)Upon an area described in paragraphs (a), (b) and (c) of the definition of the “adjacent area” in section 4 becoming an area which is —
(a)not the subject of a permit;
(aa)not the subject of a lease;
(b)not the subject of a licence; and
(c)not the subject of an application for a lease or licence,
the area ceases to be part of the adjacent area.
[Section 5 amended by No. 12 of 1990 s.161.]
6.Meaning of certain references in Act
(1)In this Act, a reference to the term of a permit, lease, licence, pipeline licence, special prospecting authority or access authority is a reference to the period during which the permit, lease, licence, pipeline licence, special prospecting authority or access authority remains in force and a reference to the date of expiration of a permit, lease, licence, pipeline licence, special prospecting authority or access authority is a reference to the day on which the permit, lease, licence, pipeline licence, special prospecting authority or access authority ceases to be in force.
(2)In this Act, a reference to a year of the term of a permit, lease, licence or pipeline licence is a reference to a period of one year commencing on the day on which the permit, lease, licence or pipeline licence, as the case may be, comes into force or on any anniversary of that day.
(3)In this Act, a reference to the renewal, or to the grant of a renewal, of a permit is a reference to the grant of a permit in respect of all or some of the blocks specified in the first‑mentioned permit to commence on the day after the date of expiration of the first‑mentioned permit or on the day after the date of expiration of the permit granted upon a previous renewal of the first‑mentioned permit.
(3a)In this Act, a reference to the renewal, or to the grant of a renewal, of a lease is a reference to the grant of a lease in respect of the blocks in respect of which the first‑mentioned lease was in force to commence on the day after the date of expiration of the first‑mentioned lease or on the day after the date of expiration of the lease granted upon a previous renewal of the first‑mentioned lease.
(4)In this Act, a reference to the renewal, or to the grant of a renewal, of a licence in respect of the blocks specified in the licence is a reference to the grant of a licence in respect of those blocks to commence on the day after the date of expiration of the first‑mentioned licence or on the day after the date of expiration of the licence granted upon a previous renewal of the first‑mentioned licence.
(5)In this Act, a reference to the renewal, or to the grant of a renewal, of a pipeline licence in respect of a pipeline is a reference to the grant of a pipeline licence in respect of that pipeline to commence on the day after the date of expiration of the first‑mentioned pipeline licence or on the day after the date of expiration of the pipeline licence granted upon a previous renewal of the first‑mentioned pipeline licence.
(6)In this Act, a reference to a pipeline includes a reference to a part of a pipeline.
(7)In this Act, a reference to a permit, lease, licence, pipeline licence or access authority is a reference to the permit, lease, licence, pipeline licence or access authority as varied for the time being under this Act.
(8)The power conferred by this Act to make grant or issue any instrument shall, unless the contrary intention appears, be construed as including a power exercisable in the like manner and subject to the like conditions, if any, to repeal, rescind, revoke, amend or vary any such instrument.
[Section 6 amended by No. 12 of 1990 s.162]
7.Space above and below adjacent area
For the purposes of this Act and the regulations —
(a)the space above or below the adjacent area shall be deemed to be in that area; and
(b)the space above or below an area that is part of the adjacent area shall be deemed to be in that part.
This Act applies to all natural persons, whether Australian citizens or not and whether resident in Western Australia or not, and to all corporations, whether incorporated or carrying on business in Western Australia or not.
9.Petroleum pool extending into 2 licence areas
(1)Where a well‑head is situated in a licence area or in an area in respect of which an access authority is in force (in this subsection called an “access authority area”) and the well from that well‑head is inclined so as to enter a petroleum pool, being a pool that does not extend to that licence area or access authority area, at a place within an adjoining licence area of the same licensee or registered holder of the access authority, any petroleum recovered through that well shall be deemed to have been recovered in that adjoining licence area under the licence in respect of that area.
(2)Where a petroleum pool is partly in one licence area and partly in an adjoining licence area of the same licensee and petroleum is recovered from that pool through a well or wells in one or both of the licence areas, there shall be deemed to have been recovered in each of the licence areas, under the licence in respect of that area, such proportion of all petroleum so recovered as may reasonably be treated as being derived from that area, having regard to the nature and probable extent of the pool, and the respective proportions shall be determined in accordance with subsection (3).
(3)The proportions to be determined for the purposes of subsection (2) may be determined by agreement between the licensee and the Minister or, in the absence of agreement, may be determined by the Supreme Court on the application of the licensee or the Minister.
(4)Where a petroleum pool is partly in a licence area and partly in an area (in this subsection referred to as “the Commonwealth licence area”) in which the licensee has authority under the Commonwealth Act to explore for, or recover, petroleum, and petroleum is recovered from that pool through a well or wells in the licence area, the Commonwealth licence area or both, there shall be deemed to have been recovered in the licence area such proportion of all petroleum so recovered as may reasonably be treated as being derived from that area, having regard to the nature and probable extent of the pool, and that proportion shall be determined in accordance with subsection (5).
(5)The proportion to be determined for the purposes of subsection (4) may be determined by agreement between the licensee, the Joint Authority and the Minister or, in the absence of agreement, may be determined by the Supreme Court on the application of the licensee, the Joint Authority or the Minister.
(6)Where a petroleum pool is partly in a licence area and partly in an area (in this subsection called “the other licence area”) in which the licensee has authority, under a corresponding law, to explore for or recover petroleum, and petroleum is recovered from that pool through a well or wells in the licence area, the other licence area or both, there shall be deemed to have been recovered in the licence area such proportion of all petroleum so recovered as may reasonably be treated as being derived from that area, having regard to the nature and probable extent of the pool, and that proportion shall be determined in accordance with subsection (7).
(7)The proportion to be determined for the purposes of subsection (6) may be determined by agreement between the licensee, the Minister and the Minister administering the corresponding law or, in the absence of agreement, may be determined by the Supreme Court on the application of any of those persons.
(8)Where —
(a)a petroleum pool is partly in a licence area and partly in another area, being an area which is outside the adjacent area and in which the licensee has, under the Commonwealth Act or a corresponding law, authority to explore for, or recover, petroleum;
(b)petroleum is recovered from that pool; and
(c)the Supreme Court of another State or of the Northern Territory makes a determination, under the Commonwealth Act or a corresponding law, of the proportion of the petroleum recovered from that pool that is, for the purposes of the Commonwealth Act or the corresponding law, to be deemed to have been recovered from the other area,
the Supreme Court shall not make a determination under this section that is inconsistent with the determination of the Supreme Court of the other State or of the Northern Territory.
(9)Where —
(a)a petroleum pool is partly in a licence area and partly in another area, whether in the adjacent area or not, in respect of which another person has authority, whether under this Act, the Commonwealth Act or a corresponding law, to explore for or recover petroleum;
(b)a unit development agreement in accordance with section 59 is in force between the licensee and that other person; and
(c)petroleum is recovered from that pool through a well or wells in the licence area, the other area or both,
there shall be deemed to have been recovered in the licence area such proportion of all petroleum so recovered as is specified in, or determined in accordance with, the agreement.
(10)In this section a reference to a licence, a licensee or a licence area shall be read as including a reference to a permit and a lease, a permittee and a lessee or a permit area and a lease area.
[Section 9 amended by No. 12 of 1990 s.163.]
10.Points, etc., to be ascertained by reference to Australian Geodetic Datum
(1)Where, for the purposes of this Act or the regulations, or for the purposes of an instrument under this Act or the regulations, it is necessary to determine the position on the surface of the earth of a point, line or area, that position shall be determined by reference to a spheroid having its centre at the centre of the earth and a major (equatorial)
radius of 6 378 160 metres and a flattening of 
(2)That station shall be taken to be situated at 133 degrees, 12 minutes and 30.0771 seconds of east longitude and at 25 degrees, 56 minutes and 54.5515 seconds of south latitude and to have a ground level of 571.2 metres above the spheroid referred to in subsection (1).
Part II — Administration of the Commonwealth adjacent area
11.“Commonwealth adjacent area”
In this Division “the Commonwealth adjacent area” means the adjacent area in respect of Western Australia determined in accordance with section 5A of the Commonwealth Act.
12.Minister as member of Joint Authority
(1)The Minister may exercise any power which the Commonwealth Act is expressed to authorize him to exercise as a member of the Joint Authority.
(2)The Minister shall perform any function or duty which the Commonwealth Act is expressed to require him to perform as a member of the Joint Authority.
13.Minister as Designated Authority
The Minister is authorized to perform the functions and duties and exercise the powers which the Commonwealth Act is expressed to require or empower the Designated Authority in respect of the Commonwealth adjacent area to perform or exercise.
14.Delegations under Commonwealth Act
Where, in the exercise of a power which the Commonwealth Act is expressed to confer upon the Designated Authority in respect of the Commonwealth adjacent area, the Minister delegates a power to a person who is a public service officer within the meaning of the Public Sector Management Act 1994 that person may exercise the power.
[Section 14 amended by No. 32 of 1994 s.19.]
15.Officers performing functions under Commonwealth Act
An officer within the meaning in section 14 shall perform any function or duty which the Minister, as the Designated Authority in respect of the Commonwealth adjacent area, or as a member of the Joint Authority, requires him to perform in relation to the Commonwealth Act.
Part III — Mining for petroleum
Division 1 — Preliminary
(1)The Minister may, either generally or as otherwise provided by the instrument of delegation, by writing signed by him delegate to a person any of his powers, functions or duties under this Act or the regulations, other than this power of delegation.
(2)A power, function or duty so delegated, when exercised or performed by the delegate, shall, for the purposes of this Act or the regulations, be deemed to have been exercised or performed by the Minister.
(3)A delegation under this section may be expressed as a delegation to the person for the time being holding, or performing the duties of, a specified office under the Commonwealth, a State or a Territory.
(4)A delegation under this section made at any time by a person who is at that time the Minister continues in force notwithstanding that at some subsequent time a different person is the Minister or there is no person who is the Minister, but such a delegation may be revoked or varied by any person who is for the time being the Minister.
(5)A delegation under this section of a power, function or duty does not prevent the exercise of the power or performance of the function or duty by the Minister.
(6)A copy of each instrument making, varying or revoking a delegation shall be published in the Gazette.
17.Graticulation of Earth’s surface
(1)For the purposes of this Act, the surface of the earth shall be deemed to be divided —
(a)by the meridian of Greenwich and by meridians that are at a distance from that meridian of 5 minutes, or a multiple of 5 minutes, of longitude; and
(b)by the equator and by parallels of latitude that are at a distance from the equator of 5 minutes, or a multiple of 5 minutes, of latitude,
into sections, each of which is bounded —
(c)by portions of 2 of those meridians that are at a distance from each other of 5 minutes of longitude; and
(d)by portions of 2 of those parallels of latitude that are at a distance from each other of 5 minutes of latitude.
(2)For the purposes of this Act —
(a)a graticular section that is wholly within the adjacent area constitutes a block; and
(b)if a part only of a graticular section is, or parts only of a graticular section are, within the adjacent area, the area of that part, or of those parts, constitutes a block.
(3)In this Act —
(a)a reference to a block that is constituted by a graticular section includes a reference to a block that is constituted by the area of a part only, or by the areas of parts only, of a graticular section; and
(b)a reference to a graticular section that constitutes a block includes a reference to a graticular section part only of which constitutes, or parts only of which constitute, a block.
(1)The Minister may, by instrument published in the Gazette, declare that a block specified in the instrument (not being a block in respect of which a permit, lease or licence is in force or over or in which there is a pipeline) shall not be the subject of a permit, lease, licence, special prospecting authority or access authority and that a pipeline licence shall not be granted in respect of a pipeline over or in that block.
(2)While a declaration under subsection (1) remains in force in respect of a block, a permit, lease, licence, special prospecting authority or access authority shall not be granted in respect of that block and a pipeline licence shall not be granted in respect of a pipeline over or in that block.
[Section 18 amended by No. 12 of 1990 s.164.]
18A.Issue of permits etc. in marine reserves
(1)Before granting or renewing a permit, access authority, special prospecting authority, lease or licence in respect of any marine reserve, the Minister shall first notify the Minister for the time being charged with the administration of the Conservation and Land Management Act 1984.
(2)In this section —
“marine reserve” means a marine nature reserve, marine park or marine management area within the meaning of the Conservation and Land Management Act 1984.
[Section 18A inserted by No. 5 of 1997 s.44.]
Division 2 — Exploration permits for petroleum
(1)A person shall not explore for petroleum in the adjacent area except —
(a)under and in accordance with a permit; or
(b)as otherwise permitted by this Part.
Penalty: $50 000 or imprisonment for 5 years, or both.
(2)In subsection (1) to “explore for petroleum” includes to conduct any geophysical survey, the data from which is intended for use in the search for petroleum.
[Section 19 amended by No. 28 of 1994 s.80.]
(1)The Minister may, by instrument published in the Gazette —
(a)invite applications for the grant of a permit in respect of the block or blocks specified in the instrument; and
(b)specify a period within which applications may be made.
(2)The Minister may, for reasons that he thinks sufficient, in an instrument under subsection (1), direct that section 21(2) or (3) does not apply, or that both of those subsections do not apply, to or in relation to the applications.
[Section 20 amended by No. 12 of 1990 s.165.]
(1)An application under section 20 —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall be in respect of not more than 400 blocks;
(d)shall be accompanied by particulars of —
(i)the proposals of the applicant for work and expenditure in respect of the blocks specified in the application;
(ii)the technical qualifications of the applicant and of his employees;
(iii)the technical advice available to the applicant; and
(iv)the financial resources available to the applicant;
(e)may set out other matters that the applicant wishes the Minister to consider; and
(f)shall be accompanied by the prescribed fee.
(2)The number of blocks specified in the application —
(a)if 16 blocks or more are available, shall not be less than 16; or
(b)if less than 16 blocks are available, shall be the number available.
(3)The blocks specified in the application shall be blocks that are constituted by graticular sections that —
(a)constitute a single area; and
(b)are such that each graticular section in that area has a side in common with at least one other graticular section in that area.
(4)The Minister may, at any time, by instrument in writing served on the applicant, require him to furnish, within the time specified in the instrument, further information in writing in connection with his application.
[Section 21 amended by No. 12 of 1990 s.166.]
22.Grant or refusal of permit in relation to application
(1)Where an application has been made under section 20, the Minister may —
(a)by instrument in writing served on the applicant inform the applicant that the Minister is prepared to grant to the applicant a permit in respect of the block or blocks specified in the instrument; or
(b)refuse to grant a permit to the applicant.
(2)An instrument under subsection (1) shall contain —
(a)a summary of the conditions subject to which the permit is to be granted; and
(b)a statement to the effect that the application will lapse if the applicant does not make a request under subsection (3) in respect of the grant of the permit.
(3)An applicant on whom there has been served an instrument under subsection (1) may, within a period of one month after the date of service of the instrument on him, or within such further period, not exceeding one month, as the Minister, on application in writing served on him before the expiration of the first‑mentioned period of one month, allows, by instrument in writing served on the Minister, request the Minister to grant to the applicant the permit referred to in the first‑mentioned instrument.
(4)Where an applicant on whom there has been served an instrument under subsection (1) has made a request under subsection (3) within the period applicable under subsection (3), the Minister shall grant to him an exploration permit for petroleum in respect of the block or blocks specified in the instrument.
(5)Where an applicant on whom there has been served an instrument under subsection (1) has not made a request under subsection (3) within the period applicable under subsection (3), the application lapses upon the expiration of that period.
[Section 22 amended by No. 28 of 1994 s.81.]
23.Application for permit in respect of surrendered etc., blocks
(1)Where —
(a)a lease is surrendered, cancelled or determined as to a block or blocks;
(aa)a licence is surrendered or cancelled as to a block or blocks;
(b)a permit is surrendered, cancelled or determined as to a block or blocks and, at the time of the surrender, cancellation or determination, the block was, or was included in, or the blocks were, or were included in, a location; or
(c)a petroleum pool from which petroleum has been recovered is within or extends to a block or blocks in respect of which no permit, lease or licence is in force,
the Minister may, at any subsequent time, by instrument published in the Gazette, invite applications for the grant of a permit in respect of that block or such of those blocks as are specified in the instrument and specify a period within which applications may be made.
[(2) and (3) repealed]
(4)An application under this section —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall be accompanied by the particulars referred to in section 21(1)(d);
(d)shall specify an amount that the applicant is prepared to pay to the Minister, in addition to the fee referred to in section 24(1)(a), in respect of the grant of a permit to him on the application; and
(e)may set out any other matters that the applicant wishes the Minister to consider.
(5)The Minister may, at any time, by instrument in writing served on the applicant, require him to furnish, within the time specified in the instrument, further information in writing in connection with his application.
[Section 23 amended by No. 12 of 1990 s.167; No. 28 of 1994 s.82.]
(1)An application under section 23 shall be accompanied by —
(a)the prescribed fee; and
(b)a deposit of 10% of the amount specified in the application under section 23(4)(d).
(2)Where a permit is not granted on the application, the amount of the deposit shall, subject to subsection (3), be refunded to the applicant.
(3)Where an applicant on whom there has been served an instrument under section 25 does not request the Minister in accordance with section 26 to grant to him the permit referred to in the instrument, the deposit shall not, unless the Minister otherwise determines, be refunded to the applicant.
[Section 24 amended by No. 12 of 1990 s.168.]
25.Consideration of applications
(1)Where, at the expiration of the period specified in an instrument under section 23(1), only one application has been made under that subsection in respect of the block or blocks specified in the instrument, the Minister may reject the application or may, by instrument in writing served on the applicant, inform the applicant that he is prepared to grant to him a permit in respect of that block or those blocks.
(2)Where, at the expiration of the period specified in an instrument under section 23(1), 2 or more applications have been made under that subsection in respect of the block or blocks specified in the instrument, the Minister may reject any or all of the applications and, if he does not reject all of the applications, may —
(a)if only one application remains unrejected, by instrument in writing served on the applicant; or
(b)if 2 or more applications remain unrejected, by instrument in writing served on the applicant, or on one of the applicants, whose application has not been rejected and who has specified as the amount that he is prepared to pay in respect of the grant of a permit to him an amount that is not less than the amount specified by any other applicant whose application has not been rejected,
inform him that he is prepared to grant to him a permit in respect of that block or those blocks.
[(3) and (4) repealed]
(5)An instrument under this section shall contain —
(a)a summary of the conditions subject to which the permit is to be granted; and
(b)a statement to the effect that the application will lapse if the applicant does not —
(i)make a request under section 26(1); and
(ii)pay the balance of the amount to be paid in respect of the grant of the permit to him or enter into an agreement under section 109 in respect of that balance.
[Section 25 amended by No. 12 of 1990 s.169; No. 28 of 1994 s.83.]
26.Request by applicant for grant of permit in respect of advertised blocks
(1)An applicant on whom there has been served an instrument under section 25 may, within a period of 3 months after the date of service of the instrument on him, or within such further period, not exceeding 3 months, as the Minister, on application in writing served on him before the expiration of the first‑mentioned period of 3 months, allows —
(a)by instrument in writing served on the Minister, request the Minister to grant to him the permit referred to in the first‑mentioned instrument; and
(b)pay the balance of the amount to be paid in respect of the grant of the permit to him or enter into an agreement under section 109 in respect of that balance.
(2)Where an applicant on whom there has been served an instrument under section 25 —
(a)has not made a request under subsection (1); or
(b)has not paid the balance of the amount to be paid in respect of the grant of the permit to him or entered into an agreement under section 109 in respect of that balance,
within the period applicable under subsection (1) the application lapses upon the expiration of that period.
(3)Where the application of an applicant on whom there has been served an instrument under section 25(2) lapses as provided by subsection (2), section 25(2) applies in respect of the application or applications, if any, then remaining unrejected.
[Section 26 amended by No. 28 of 1994 s.84.]
Where a person on whom there has been served an instrument under section 25 —
(a)has made a request under section 26(1); and
(b)has paid the balance of the amount to be paid in respect of the grant of a permit to him or has entered into an agreement under section 109 in respect of that balance,
within the period applicable under section 25(1), the Minister shall grant to that person an exploration permit for petroleum in respect of the block or blocks specified in the instrument.
[Section 27 amended by No. 28 of 1994 s.85.]
A permit, while it remains in force, authorizes the permittee, subject to this Act and the regulations and in accordance with the conditions to which the permit is subject, to explore for petroleum and to carry on such operations and execute such works as are necessary for that purpose in the permit area.
Subject to this Part, a permit remains in force —
(a)in the case of a permit granted otherwise than by way of the renewal of a permit, for a period of 6 years commencing on the day on which the permit is granted or, if a later day is specified in the permit as being the day on which the permit is to come into force, on that later day; and
(b)in the case of a permit granted by way of the renewal of a permit, for a period of 5 years commencing on the day on which the permit is granted or, if a later day is specified in the permit as being the day on which the permit is to come into force, on that later day.
[Section 29 amended by No. 12 of 1990, s.170.]
30.Application for renewal of permit
(1)Subject to section 31, a permittee may, from time to time, make an application to the Minister for the renewal of the permit in respect of such of the blocks the subject of the permit as are specified in the application.
(2)An application for the renewal of the permit —
(a)shall be in accordance with an approved form;
(b)subject to subsection (3), shall be made in an approved manner not less than 3 months before the date of expiration of the permit; and
(c)shall be accompanied by the prescribed fee.
(3)The Minister may, for reasons that he thinks sufficient, receive an application for the renewal of the permit less than 3 months before, but not in any case after, the date of expiration of the permit.
[Section 30 amended by No. 12 of 1990 s.171.]
31.Application for renewal of permit to be in respect of reduced area
(1)Subject to subsection (3), the number of blocks in respect of which an application for the renewal of a permit may be made shall not exceed the number calculated as follows —
(a)where the number of blocks in respect of which the permit is in force is a number that is divisible by 2 without remainder, one‑half of that number; or
(b)where the number of blocks in respect of which the permit is in force is a number that is one less or one more than a number that is divisible by 4 without remainder, one‑half of that last‑mentioned number.
(2)A block that is, or is included in, a location and in respect of which the permit is in force shall not be regarded as a block in respect of which the permit is in force for the purpose of making a calculation under subsection (1).
(3)An application for the renewal of a permit may include, in addition to the blocks referred to in subsection (1), a block that is, or is included in, a location and in respect of which the permit is in force, or 2 or more such blocks.
(4)The blocks specified in an application for the renewal of a permit shall be blocks that are constituted by, or are within, graticular sections that —
(a)constitute a single area or a number of discrete areas; and
(b)are such that each graticular section in the area, or in each area, has a side in common with at least one other graticular section in that area.
(5)Where the number of blocks in respect of which an application for the renewal of a permit may be made is 16 or more, each area constituted by blocks in respect of which the application is made shall be constituted by not less than 16 blocks.
(6)Where the maximum number of blocks in respect of which an application for the renewal of a permit may be made in accordance with the preceding provisions of this section is less than 16, the Minister may, by instrument in writing served on the permittee —
(a)inform the permittee that the number of blocks in respect of which the application may be made is such number, not exceeding 16, as is specified in the instrument; and
(b)give such directions as he thinks fit concerning the blocks in respect of which the application may be made.
(7)The Minister may, for reasons that he thinks sufficient —
(a)direct that subsections (4) and (5) do not apply to or in relation to a proposed application for the renewal of a permit; and
(b)give such directions as he thinks fit concerning the blocks in respect of which that application may be made.
32.Grant or refusal of renewal of permit
(1)Where an application has been made under section 30 for the renewal of a permit, the Minister —
(a)shall, if the conditions to which the permit is, or has from time to time been, subject and the provisions of this Part and of the regulations have been complied with; or
(b)may, if —
(i)any of the conditions to which the permit is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with; and
(ii)the Minister is, nevertheless, satisfied that special circumstances exist that justify the granting of the renewal of the permit,
by instrument in writing served on the person who is then the permittee inform the person that the Minister is prepared to grant to that person the renewal of the permit.
(2)If any of the conditions to which the permit is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with, and if the Minister is not satisfied that special circumstances exist that justify the granting of the renewal of the permit, the Minister shall, subject to subsection (3), by instrument in writing served on the person who is then the permittee, refuse to grant the renewal of the permit.
(3)The Minister shall not refuse to grant the renewal of the permit unless —
(a)he has, by instrument in writing served on the permittee, given not less than one month’s notice of his intention to refuse to grant the renewal of the permit;
(b)he has served a copy of the instrument on such other persons, if any, as he thinks fit;
(c)he has, in the instrument —
(i)given particulars of the reasons for the intention; and
(ii)specified a date on or before which the permittee or a person on whom a copy of the instrument is served may, by instrument in writing served on the Minister, submit any matters that he wishes the Minister to consider;
and
(d)he has taken into account any matters so submitted to him on or before the specified date by the permittee or by a person on whom a copy of the first‑mentioned instrument has been served.
(4)An instrument referred to in subsection (1) shall contain —
(a)a summary of the conditions to which the permit, on the grant of the renewal, is to be subject; and
(b)a statement to the effect that the application will lapse if the permittee does not make a request under subsection (5).
(5)A permittee on whom there has been served an instrument under subsection (1) may, within a period of one month after the date of service of the instrument on him, by instrument in writing served on the Minister, request the Minister to grant to him the renewal of the permit.
(6)Where a permittee on whom there has been served an instrument under subsection (1) has made a request under subsection 5 within the period referred to in subsection (5), the Minister shall grant to him the renewal of the permit.
(7)Where a permittee on whom there has been served an instrument under subsection (1) has not made a request under subsection (5) within the period referred to in subsection (5), the application lapses upon the expiration of that period.
(8)Where —
(a)an application for the renewal of a permit has been made; and
(b)the permit expires —
(i)before the Minister grants, or refuses to grant, the renewal of the permit; or
(ii)before the application lapses as provided by subsection (7),
the permit shall be deemed to continue in force in all respects —
(c)until the Minister grants, or refuses to grant, the renewal of the permit; or
(d)until the application so lapses,
whichever first happens.
[Section 32 amended by No. 28 of 1994 s.86.]
(1)A permit may be granted subject to such conditions as the Minister thinks fit and specifies in the permit.
(2)The conditions referred to in subsection (1) may include conditions with respect to —
(a)work to be carried out by the permittee in or in relation to the permit area during the term of the permit;
(b)amounts to be expended by the permittee in the carrying out of such work; or
(c)both those matters,
and the conditions may require the permittee to comply with directions given in accordance with the permit concerning the matters referred to in paragraphs (a) and (b).
34.Discovery of petroleum to be notified
(1)Where petroleum is discovered in a permit area, the permittee —
(a)shall forthwith inform the Minister of the discovery; and
(b)shall, within a period of 3 days after the date of the discovery, furnish to the Minister particulars in writing of the discovery.
(2)Where petroleum is discovered in a permit area, the Minister may, from time to time, by instrument in writing served on the permittee, direct the permittee to furnish to him, within the period specified in the instrument, particulars in writing of any one or more of the following —
(a)the chemical composition and physical properties of the petroleum;
(b)the nature of the subsoil in which the petroleum occurs; and
(c)any other matters relating to the discovery that are specified by the Minister in the instrument.
(3)A person to whom a direction is given under subsection (2) shall comply with the direction.
Penalty: $10 000.
35.Directions by Minister on discovery of petroleum
(1)Where petroleum is discovered in a permit area, the Minister may, by instrument in writing served on the permittee, direct the permittee to do, within the period specified in the instrument, such things as the Minister thinks necessary and specifies in the instrument to determine the chemical composition and physical properties of that petroleum and to determine the quantity of petroleum in the petroleum pool to which the discovery relates or, if part only of that petroleum pool is within the permit area, in such part of that petroleum pool as is within the permit area.
(2)A person to whom a direction is given under subsection (1) shall comply with the direction.
Penalty: $10 000.
36.Nomination of blocks as location
(1)Where a petroleum pool is identified in a permit area, the permittee may nominate the block in which the pool is situated, or the blocks (being blocks within the permit area) to which the pool extends, for declaration as a location.
(2)Where 2 or more petroleum pools are identified in a permit area, the permittee may, instead of making a nomination under subsection (1) in relation to each pool, nominate all of the blocks to which the pools extend, or to which any 2 or more of the pools extend, for declaration as a single location.
(3)A nomination may not be made under subsection (2) unless, in the case of each of the pools to which the nomination relates, at least one of the blocks to which the pool extends immediately adjoins a block to which the other, or another, of those pools extends.
(4)A nomination by a permittee shall be in writing and served on the Minister.
(5)A nomination may not be made by a permittee unless the permittee or another person has, whether within or outside the permit area, recovered petroleum from the petroleum pool to which the nomination relates or, if the nomination relates to more than one pool, from each of those pools.
(6)Where —
(a)the Minister is of the opinion that a permittee is entitled to nominate a block or blocks under subsection (1) or (2); and
(b)the permittee has not done so,
the Minister may require the permittee to exercise the permittee’s right to nominate the block or blocks within 3 months after the date of the making of the requirement.
(7)A requirement by the Minister under subsection (6) shall be by written notice served on the permittee.
(8)On written request by a permittee within the period fixed by subsection (6), the Minister may extend the time for compliance with a requirement under that subsection by not more than 3 months.
(9)If a permittee fails to comply with a requirement under subsection (6), the Minister may, by written notice served on the permittee, nominate the block or blocks for declaration as a location.
[Section 36 inserted by No. 12 of 1990 s.172 3.]
(1)Where —
(a)a permittee has made a nomination under section 36; and
(b)the Minister is of the opinion that the permittee is entitled under that section to nominate the block or blocks specified in the nomination,
the Minister shall, by notice published in the Gazette, declare the block or blocks to which the nomination relates to be a location.
(2)Where the Minister has made a nomination under section 36(9), the Minister shall, by notice published in the Gazette, declare the block or blocks to which the nomination relates to be a location.
(3)The Minister may, at the request of the permittee, revoke a declaration.
(4)The Minister may vary a declaration by —
(a)adding to the location a block in the permit area to which, in the opinion of the Minister, a petroleum pool within the location extends; or
(b)deleting from the location a block to which, in the opinion of the Minister, no petroleum pool within the location extends.
(5)The Minister may not vary a declaration unless —
(a)the Minister has caused to be served on the permittee notice in writing of the proposed variation, identifying the block to be added to, or deleted from, the location;
(b)the period of 30 days after the date of service of the notice has expired; and
(c)the Minister has considered any matters submitted to him by the permittee in relation to the proposed variation.
(6)Subsection (5) does not apply where a variation is made at the request of the permittee.
[Section 37 inserted by No. 12 of 1990 s.172 3.]
38.Immediately adjoining blocks
For the purposes of section 36, a block immediately adjoins another block if the graticular section that constitutes or includes that block and the graticular section that constitutes or includes that other block —
(a)have a side in common; or
(b)are joined together at one point only.
[Section 38 amended by No. 12 of 1990 s.173 3.]
Division 2A — Retention leases for petroleum
[Heading inserted by No. 12 of 1990 s.174.]
38A.Application by permittee for lease
(1)A permittee whose permit is in force in respect of a block that constitutes, or the blocks that constitute, a location may, within the application period, make an application to the Minister for the grant of a lease in respect of that block, or in respect of one or more of those blocks, as the case may be.
(2)An application under subsection (1) —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall be accompanied by particulars of —
(i)the proposals of the applicant for work and expenditure in respect of the area comprised in the blocks specified in the application; and
(ii)the commercial viability of the recovery of petroleum from the area comprised in the blocks specified in the application at the time of the application, and particulars of the possible future commercial viability of the recovery of petroleum from that area;
(d)may set out any other matters that the applicant wishes to be considered; and
(e)shall be accompanied by the prescribed fee.
(3)The Minister may, at any time, by instrument in writing served on the applicant, require the applicant to furnish, within the time specified in the instrument, further information in writing in connection with the application.
(4)The application period in respect of an application under this section by a permittee is —
(a)the period of 2 years after the date on which the block that constitutes the location concerned was, or the blocks that constitute the location concerned were, declared to be a location; or
(b)such other period, not less than 2 years or more than 4 years after that date, as the Minister, on application in writing by the permittee, served on the Minister before the end of the first‑mentioned period of 2 years, allows.
[Section 38A inserted by No. 12 of 1990 s.174.]
38B.Grant or refusal of lease in relation to application
(1)Where —
(a)an application has been made under section 38A;
(b)the applicant has furnished any further information as and when required by the Minister under section 38A(3);
and
(c)the Minister is satisfied that recovery of petroleum from the area comprised in the blocks specified in the application —
(i)is not, at the time of the application, commercially viable; and
(ii)is likely to become commercially viable within the period of 15 years after that time,
the Minister shall, by instrument in writing served on the applicant, inform the applicant that he is prepared to grant to the applicant a lease in respect of the block or blocks specified in the application.
(2)Where an application has been made under section 38A and —
(a)the applicant has not furnished any further information as and when required by the Minister under section 38A(3); or
(b)the Minister is not satisfied as to the matters referred to in subsection (1)(c) in relation to the blocks specified in the application,
the Minister shall, by instrument in writing served on the applicant, refuse to grant a lease to the applicant.
(3)An instrument under subsection (1) shall contain —
(a)a summary of the conditions subject to which the lease is to be granted; and
(b)a statement to the effect that the application will lapse if the applicant does not make a request under subsection (4) in respect of the grant of the lease.
(4)An applicant on whom there has been served an instrument under subsection (1) may, within a period of one month after the date of service of the instrument, or within such further period, not exceeding one month, as the Minister, on application in writing served on the Minister before the end of the first‑mentioned period of one month, allows, by instrument in writing served on the Minister, request the Minister to grant to the applicant the lease.
(5)Where an applicant on whom there has been served an instrument under subsection (1) has made a request under subsection (4) within the period applicable under subsection (4), the Minister shall grant to the applicant a retention lease in respect of the block or blocks specified in the instrument.
(6)Where an applicant on whom there has been served an instrument under subsection (1) has not made a request under subsection (4) within the period applicable under subsection (4), the application lapses upon the expiration of that period.
(7)On the day on which a lease granted under this section in respect of a block or blocks comes into force, the permit in respect of the block or blocks ceases to be in force in respect of those blocks.
[Section 38B inserted by No. 12 of 1990 s.174; amended by No. 28 of 1994 s.87.]
38BA.Application of sections 38A and 38B where permit is transferred
Where —
(a)after an application has been made under section 38A(1) in relation to a block or blocks in respect of which a permit is in force; and
(b)before a decision has been made by the Minister under section 38B(1) or (2) in relation to the application,
a transfer of the permit is registered under section 78, sections 38A and 38B have effect, after the time of the transfer, as if any reference in those sections to the applicant were a reference to the transferee.
[Section 38BA inserted by No. 28 of 1994 s.88.]
A lease, while it remains in force, authorizes the lessee, subject to this Act and the regulations and in accordance with the conditions to which the lease is subject, to explore for petroleum, and to carry on such operations and execute such works as are necessary for that purpose, in the lease area.
[Section 38C inserted by No. 12 of 1990 s.174.]
Subject to this Part, a lease (whether granted by way of renewal of a lease or otherwise) remains in force for a period of 5 years commencing on the day on which the lease was granted or, if a later day is specified in the lease as being the day on which the lease is to come into force, on that later day.
[Section 38D inserted by No. 12 of 1990 s.174.]
38E.Notice of intention to cancel lease
(1)Where —
(a)a lessee has been given a notice of the kind referred to in section 38H(3) during the term of the lease and has carried out, and has informed the Minister of the results of, the re‑evaluation required by the notice;
(b)the lessee has not made an application for the renewal of the lease; and
(c)after consideration of the results of the re‑evaluation referred to in paragraph (a) and such other matters as the Minister thinks fit, the Minister is of the opinion that recovery of petroleum from the lease area is commercially viable,
the Minister may serve on the lessee and on such other persons as the Minister thinks appropriate an instrument in writing —
(d)informing the lessee or the other person that the Minister has formed that opinion and that the Minister intends to cancel the lease; and
(e)stating that the lessee or the other person may serve an instrument in writing on the Minister within the period specified in the first‑mentioned instrument, not being a period ending earlier than one month after the date of service of the first‑mentioned instrument, setting out any matters that the lessee or the other person, as the case may be, wishes to be considered.
(2)Where —
(a)an instrument under subsection (1) is served on a lessee; and
(b)the lessee does not, within the period referred to in subsection (1)(e), serve on the Minister an instrument setting out matters that the lessee wishes to be considered or the Minister, after consideration of matters set out in an instrument served on the Minister by the lessee within that period, determines that the lease should be cancelled,
the Minister shall, by instrument in writing served on the lessee, cancel the lease.
(3)The cancellation of a lease under subsection (2) has effect —
(a)in a case to which paragraph (b) does not apply, at the end of the period of 12 months commencing on the date of service of the instrument of cancellation; or
(b)in a case where the lessee makes an application for a licence in respect of one or more of the blocks comprised in the lease within the period referred to in paragraph (a), when the Minister grants, or refuses to grant, the licence or when the application lapses, whichever first happens.
(4)Where a lease is cancelled under subsection (2), the lease shall be deemed to continue in force in all respects until the cancellation has effect in accordance with subsection (3).
[Section 38E inserted by No. 12 of 1990 s.174.]
38F.Application for renewal of lease
(1)A lessee may, from time to time, make an application to the Minister for the renewal of the lease.
(2)An application for the renewal of a lease —
(a)shall be in accordance with an approved form;
(b)subject to subsection (3), shall be made in an approved manner not less than 6 months or more than 12 months before the day on which the lease ceases to be in force;
(c)shall be accompanied by particulars of —
(i)the proposals of the applicant for work and expenditure in respect of the lease area; and
(ii)the commercial viability of recovery of petroleum from the lease area at the time of the application and particulars of the possible future commercial viability of recovery of petroleum from the lease area;
and
(d)shall be accompanied by the prescribed fee.
(3)The Minister may, for reasons that the Minister thinks sufficient, receive an application for the renewal of the lease less than 6 months before, but not in any case after, the day on which the lease ceases to be in force.
(4)Where an application has been made for the renewal of a lease, the Minister may, at any time, by instrument in writing served on the lessee, require the lessee to furnish, within the time specified in the instrument, further information in writing in connection with the application.
[Section 38F inserted by No. 12 of 1990 s.174; amended by No. 28 of 1994 s.89.]
38G.Grant or refusal of renewal of lease
(1)Where —
(a)an application for the renewal of a lease has been made under section 38F;
(b)any further information required by the Minister under subsection (4) of section 38F has been furnished in accordance with that subsection; and
(c)the Minister is satisfied that recovery of petroleum from the lease area —
(i)is not, at the time of the application, commercially viable; and
(ii)is likely to become commercially viable within the period of 15 years after that time,
the Minister —
(d)shall, if the conditions to which the lease is, or has from time to time been, subject and the provisions of this Part and of the regulations have been complied with; or
(e)may, if —
(i)any of the conditions to which the lease is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with; and
(ii)the Minister is, nevertheless, satisfied that special circumstances exist that justify the granting of the renewal of the lease,
by instrument in writing served on the person who is then the lessee, inform that person that the Minister is prepared to grant to the person the renewal of the lease.
(2)Subject to subsection (3), where an application for the renewal of a lease has been made under section 38F and —
(a)any further information required by the Minister under subsection (4) of section 38F has not been furnished in accordance with that subsection;
(b)the Minister is not satisfied as to the matters referred to in subsection (1)(c); or
(c)any of the conditions to which the permit is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with and the Minister is not satisfied that special circumstances exist that justify the granting of the renewal of the lease,
the Minister shall, by instrument in writing served on the person who is then the lessee, refuse to grant the renewal of the lease.
(3)The Minister shall not refuse to grant the renewal of the lease unless —
(a)he has, by instrument in writing served on the lessee, given not less than one month’s notice of his intention to refuse to grant the renewal of the lease;
(b)he has served a copy of the instrument on such other persons, if any, as he thinks fit;
(c)he has, in the instrument —
(i)given particulars of the reasons for the intention; and
(ii)specified a date on or before which the lessee or a person on whom a copy of the instrument is served may, by instrument in writing served on the Minister, submit any matters that the lessee wishes to be considered;
and
(d)he has taken into account any matters so submitted on or before the specified date by the lessee or by a person on whom a copy of the first‑mentioned instrument has been served.
(4)An instrument referred to in subsection (1) shall contain —
(a)a summary of the conditions to which the lease, on the grant of the renewal, is to be subject; and
(b)a statement to the effect that the application will lapse if the lessee does not make a request under subsection (6).
(5)An instrument under subsection (2) shall, where the Minister refuses to grant the renewal of a lease by reason only that the Minister is not satisfied as to the matter referred to in subsection (1)(c)(i), contain a statement to the effect that the lessee may, within the period of 12 months after the date of service of the instrument, make an application for a licence in respect of one or more of the blocks comprised in the lease.
(6)A lessee on whom there has been served an instrument under subsection (1) may, within a period of one month after the date of service of the instrument on the lessee, by instrument in writing served on the Minister, request the Minister to grant the lessee the renewal of the lease.
(7)Where a lessee on whom there has been served an instrument under subsection (1) has made a request under subsection (6) within the period referred to in subsection (6), the Minister shall grant to the lessee the renewal of the lease.
(8)Where a lessee on whom there has been served an instrument under subsection (1) has not made a request under subsection (6) within the period referred to in subsection (6), the application lapses upon the expiration of that period.
(9)Where —
(a)an application for the renewal of a lease has been made; and
(b)the lease expires —
(i)before the Minister grants, or refuses to grant, the renewal of the lease; or
(ii)before the application lapses as provided by subsection (8),
the lease shall be deemed to continue in force in all respects —
(c)until the Minister grants, or refuses to grant, the renewal of the lease; or
(d)until the application so lapses,
whichever first happens.
(10)Where the Minister refuses to grant the renewal of a lease by reason only that the Minister is not satisfied as to the matter referred to in subsection (1)(c)(i), the lease shall be deemed to continue in force in all respects —
(a)in a case to which paragraph (b) does not apply, until 12 months after the date of service of the instrument under subsection (2); or
(b)in a case where the lessee makes an application for a licence in respect of one or more of the blocks comprised in the lease within the period of 12 months after the date referred to in paragraph (a), until the Minister grants, or refuses to grant, the licence or until the application lapses, whichever first happens.
[Section 38G inserted by No. 12 of 1990 s.174; amended by No. 28 of 1994 s.90.]
(1)A lease may be granted subject to such conditions as the Minister thinks fit and are specified in the lease.
(2)The conditions referred to in subsection (1) may include conditions with respect to work to be carried out by the lessee in or in relation to the lease area during the term of the lease, or amounts to be expended by the lessee in the carrying out of such work, or conditions with respect to both of those matters, including conditions requiring the lessee to comply with directions given in accordance with the lease concerning those matters.
(3)A lease shall be deemed to contain a condition that the lessee will, within the period of 3 months after the receipt of a written notice from the Minister requesting the lessee to do so or within such further period as the Minister, on application in writing served on the Minister before the end of the first‑mentioned period, allows, re‑evaluate the commercial viability of petroleum production in the lease area (otherwise than by the drilling of wells) and inform the Minister in writing of the results of the re‑evaluation.
(4)Where a lessee has complied with 2 notices of the kind referred to in subsection (3) during the term of the lease, the Minister shall not give to the lessee during that term a further notice of that kind.
[Section 38H inserted by No. 12 of 1990 s.174.]
38J.Discovery of petroleum to be notified
(1)Where petroleum is discovered in a lease area, the lessee —
(a)shall forthwith inform the Minister of the discovery; and
(b)shall, within a period of 3 days after the date of the discovery, furnish to the Minister particulars in writing of the discovery.
(2)Where petroleum is discovered in a lease area, the Minister may, from time to time, by instrument in writing served on the lessee, direct the lessee to furnish to the Minister, within the period specified in the instrument, particulars in writing of any one or more of the following —
(a)the chemical composition and physical properties of the petroleum;
(b)the nature of the subsoil in which the petroleum occurs;
(c)any other matters relating to the discovery that are specified by the Minister in the instrument.
(3)A person to whom a direction is given under subsection (2) shall comply with the direction.
Penalty: $10 000.
[Section 38J inserted by No. 12 of 1990 s.174.]
38K.Directions by Minister on discovery of petroleum
(1)Where petroleum is discovered in a lease area, the Minister may, by instrument in writing served on the lessee, direct the lessee to do, within the period specified in the instrument, such things as the Minister thinks necessary and specifies in the instrument to determine the chemical composition and physical properties of that petroleum and to determine the quantity of petroleum in the petroleum pool to which the discovery relates or, if part only of that petroleum pool is within the lease area, in such part of that petroleum pool as is within the lease area.
(2)A person to whom a direction is given under subsection (1) shall comply with the direction.
Penalty: $10 000.
[Section 38K inserted by No. 12 of 1990 s.174.]
Division 3 — Production licences for petroleum
39.Recovery of petroleum in adjacent area
A person shall not carry on operations for the recovery of petroleum in the adjacent area except —
(a)under and in accordance with a licence; or
(b)as otherwise permitted by this Part.
Penalty: $50 000 or imprisonment for 5 years, or both.
40.Application by permittee for licence
(1)A permittee whose permit is in force in respect of a block that constitutes, or the blocks that constitute, a location may, within the application period, make an application to the Minister for the grant of a licence —
(a)where 9 or more blocks constitute the location concerned, in respect of 5 of those blocks;
(b)where 8 or 7 blocks constitute the location concerned, in respect of 4 of those blocks;
(c)where 6 or 5 blocks constitute the location concerned, in respect of 3 of those blocks;
(d)where 4 or 3 blocks constitute the location concerned, in respect of 2 of those blocks;
(e)where 2 blocks constitute the location concerned, in respect of one of those blocks; or
(f)where one block constitutes the location concerned, in respect of that block.
(2)A permittee whose permit is in force in respect of blocks that constitute a location —
(a)instead of making an application under subsection (1) in respect of his primary entitlement, may, within the application period, make an application to the Minister for the grant of a licence in respect of a number of those blocks that is less than his primary entitlement; and
(b)being the holder of a licence referred to in paragraph (a), may, from time to time within that period, make an application to the Minister for the variation of that licence to include in the licence area a number of those blocks that does not exceed the number, if any, by which his primary entitlement exceeds the number of blocks in respect of which that licence was granted and the number of blocks, if any, included in that licence by reason of any previous variations of that licence.
(3)Where —
(a)a permittee makes an application under subsection (1) in respect of his primary entitlement; or
(b)a permittee who is the holder of a licence in respect of a number of blocks that is less than his primary entitlement makes an application under subsection (2) for a variation of that licence, and the number of blocks in respect of which that licence was granted, together with the number of blocks included, and sought to be included, in the licence area by reason of applications under that subsection, is his primary entitlement,
the permittee may, within the application period, make an application to the Minister for the grant of a licence in respect of any of the other blocks forming part of the location concerned.
(4)Subject to subsection (5), the application period in respect of an application under this section by a permittee is —
(a)the period of 2 years after the date on which the block that constitutes the location concerned was, or the blocks that constitute the location concerned were, declared to be a location; or
(b)such other period, not less than 2 years or more than 4 years after that date, as the Minister, on application by the permittee, in writing, served on the Minister before the expiration of the period of 2 years referred to in paragraph (a), allows.
(5)Where —
(a)a permittee applies for the grant by the Minister of a licence in respect of a block or blocks in respect of which the permittee has applied for a lease under section 38A; and
(b)an instrument refusing to grant the lease is served on the permittee under section 38B(2),
the application period is whichever of the following periods last expires —
(c)the period that is applicable under subsection (4);
(d)the period of 12 months after the day of service of the instrument.
[Section 40 amended by No. 12 of 1990 s.175 3; No. 28 of 1994 s.91.]
40A.Application for licence by holder of lease
(1)A lessee whose lease is in force may make an application to the Minister for the grant of a licence —
(a)where the lease is in respect of 9 or more blocks, in respect of 5 of those blocks;
(b)where the lease is in respect of 8 or 7 blocks, in respect of 4 of those blocks;
(c)where the lease is in respect of 6 or 5 blocks, in respect of 3 of those blocks;
(d)where the lease is in respect of 4 or 3 blocks, in respect of 2 of those blocks;
(e)where the lease is in respect of 2 blocks, in respect of one of those blocks; or
(f)where the lease is in respect of one block, in respect of that block.
(2)At any time while a lease is in force, the lessee may, instead of making an application under subsection (1) in respect of the lessee’s primary entitlement, make an application to the Minister for the grant of a licence in respect of a number of blocks that is less than the lessee’s primary entitlement.
(3)Where a lessee makes an application under subsection (1) in respect of the lessee’s primary entitlement, the lessee may, at any time while the lease concerned is in force, make an application to the Minister for the grant of a licence in respect of any of the other blocks forming part of the lease.
[Section 40A inserted by No. 12 of 1990 s.176 3.]
(1)An application under section 40 or 40A —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall be accompanied by particulars of the proposals of the applicant for work and expenditure in respect of the area comprised in the blocks specified in the application;
(d)may set out any other matters that the applicant wishes the Minister to consider; and
(e)shall in the case of an application for the grant of a licence be accompanied by the prescribed fee.
(2)The Minister may, at any time, by instrument in writing served on the applicant, require him to furnish, within the period specified in the instrument, further information in writing in connection with his application.
[Section 41 amended by No. 12 of 1990 s.177.]
42.Determination of rate of royalty
(1)Where an application for a primary licence has been made and, before or after the grant of the primary licence, the applicant makes an application for a secondary licence, the Minister shall determine a rate at which royalty is to be payable in respect of petroleum recovered, whether under the primary licence or under the secondary licence, being a rate that is not less than 11% or more than 12½ % of the royalty value of that petroleum.
(2)The Minister shall not, under subsection (1), determine the rate at which royalty is to be payable unless he has given to the applicant an opportunity to confer with him concerning that rate.
[Section 42 amended by No. 11 of 1994 s.9.]
43.Notification as to grant of licence
(1)Where an application for the grant of a licence has been made under section 40 or 40A and the applicant has furnished any further information as and when required by the Minister under section 41(2), the Minister, by instrument in writing served on the applicant shall inform the applicant that he is prepared to grant to the applicant a licence in respect of the blocks specified in the application.
(2)An instrument under subsection (1) shall —
(a)contain a summary of the conditions subject to which the licence is to be granted;
(b)if the instrument relates to an application for a secondary licence, specify the rate of royalty determined by the Minister in pursuance of section 42(1); and
(c)contain a statement to the effect that the application will lapse if the applicant does not make a request under section 44(1) in respect of the grant of the licence.
[Section 43 amended by No. 12 of 1990 s.178; No. 28 of 1994 s.92.]
(1)An applicant on whom there has been served an instrument under section 43(1) may, within a period of 3 months after the date of service of the instrument on him, or within such further period, not exceeding 3 months, as the Minister, on application in writing served on him before the expiration of the first‑mentioned period of 3 months, allows, by instrument in writing served on the Minister, request the Minister to grant to him the licence referred to in the first‑mentioned instrument.
(2)Where an applicant on whom there has been served an instrument under section 43(1) has made a request under subsection (1) within the period applicable under subsection (1), the Minister shall grant to the applicant a production licence for petroleum in respect of the blocks specified in the application.
(3)A secondary licence shall not be granted to a permittee or lessee in respect of any one or more of the blocks that constitute a location unless —
(a)a primary licence has been granted in respect of a block or blocks forming part of that location; and
(b)the number of blocks in respect of which the primary licence was granted, together with the number of blocks included in that licence by reason of variations of the licence under section 45, is the permittee’s or lessee’s primary entitlement.
(4)Where an applicant on whom there has been served an instrument under section 43(1) has not made a request under subsection (1) within the period applicable under subsection (1), the application lapses upon the expiration of that period.
(5)On the day on which a licence granted under this section comes into force, the permit or lease in respect of the blocks in respect of which the licence was granted ceases to be in force in respect of those blocks.
[Section 44 amended by No. 12 of 1990 s.179; No. 28 of 1994 s.93.]
44A.Application of sections 41 to 44 where permit etc. transferred
Where —
(a)after an application has been made —
(i)under section 40 for the grant of a licence in respect of a block or blocks in respect of which a permit is in force; or
(ii)under section 40A for the grant of a licence in respect of a block or blocks in respect of which a lease is in force;
and
(b)before a decision has been made by the Minister under section 43(1) in relation to the application,
a transfer of the permit or lease, as the case may be, is registered under section 78, then, after the time of the transfer sections 41 to 44 have effect in relation to the application as if any reference in those sections to the applicant were a reference to the transferee.
[Section 44A inserted by No. 28 of 1994 s.94.]
(1)Where an application is made under section 40(2) for a variation of a licence, the Minister shall, by instrument in writing served on the licensee, vary the licence to include in the licence area the blocks specified in the application.
(2)On and from the day on and from which a variation of a licence under this section has effect —
(a)the blocks included in the licence area by reason of the variation are, subject to this Part, for the remainder of the term of the licence, blocks in respect of which the licence is in force; and
(b)the permit that is in force in respect of the blocks so included ceases to be in force in respect of those blocks.
[Section 45 amended by No. 12 of 1990 s.180.]
46.Determination of permit as to block not taken up by licensee
(1)Subject to subsection (2), where —
(a)a permittee who may make an application under section 40 in respect of a block does not, within the application period, make the application; or
(b)all applications made by a permittee under that section in respect of a block have lapsed,
the permit is determined as to that block and the determination has effect —
(c)in a case referred to in paragraph (a), upon the expiration of the application period; and
(d)in a case referred to in paragraph (b) —
(i)upon the expiration of the application period; or
(ii)upon the lapsing of the last of the applications referred to in that paragraph,
whichever is the later.
(1a)Subject to subsection (2), where all applications made by a lessee under section 40A in respect of a block have lapsed, the lease is determined as to that block and the determination has effect upon the lapsing of the last of those applications.
(2)Where a permittee or lessee makes an application for a secondary licence —
(a)the permit or lease is determined as to any blocks forming part of the location concerned that are not the subject of that application or of any application for a primary licence or for the variation of such a licence; and
(b)the determination has effect upon the making of the application.
(3)Subject to subsection (4), where a block or blocks constituting or forming part of a location is or are no longer the subject of a permit or lease, the Minister shall, by instrument published in the Gazette—
(a)in a case where that block or those blocks constitutes or constitute that location, revoke the declaration made under section 37 in respect of that location; or
(b)in a case where that block or those blocks forms or form part of that location, revoke the declaration made under section 37 in respect of that location to the extent that it relates to that block or those blocks.
(4)Subsection (3) does not apply in relation to a block —
(a)in respect of which an application for the grant of a lease or licence has been made, being an application that has not lapsed and in relation to which a decision has not been made by the Minister; or
(b)in respect of which a lease or licence is in force.
(5)Where a lease is granted in respect of a block or blocks forming part of a location, the Minister shall, by instrument published in the Gazette, revoke the declaration made under section 37 to the extent that it relates to the block or blocks that is or are not within the lease area.
(6)Where —
(a)the Minister refuses to grant a lease in respect of a block or blocks constituting or forming part of a location; and
(b)the reason, or one of the reasons, for the refusal is that the Minister is not satisfied as to the matter referred to in section 38B(1)(c)(ii),
the Minister shall, by instrument published in the Gazette, revoke the declaration made under section 37 in respect of that location.
[Section 46 amended by No. 12 of 1990 s.181 4.]
47.Application for licence in respect of surrendered, etc., blocks
(1)Where —
(a)a licence is surrendered or cancelled as to a block;
(b)a permit or lease is surrendered, cancelled or determined as to a block —
(i)that, at the time of the surrender, cancellation or determination, was, or was included in, a location; and
(ii)in which, in the opinion of the Minister, there is petroleum;
or
(ba)a petroleum pool from which the petroleum has been recovered is within or extends to a block or blocks in respect of which no permit, lease or licence is in force,
the Minister may, at any subsequent time, by instrument published in the Gazette—
(c)invite applications for the grant of a licence in respect of that block; and
(d)specify a period within which applications may be made.
(2)The Minister shall, in an instrument under subsection (1), state —
(a)that an applicant is required to specify an amount that he would be prepared to pay in respect of the grant of a licence to him on his application; or
(b)that an applicant is required to specify a rate of royalty that he would be prepared to pay, if a licence were granted to him on his application, in respect of petroleum recovered under the licence, being a rate that exceeds 10% of the royalty value of that petroleum.
(3)Where the Minister, in an instrument under subsection (1), states that an applicant is required to specify a rate of royalty as mentioned in subsection (2)(b), the Minister may, in that instrument, state that an applicant on whose application he is prepared to grant a licence will also be required to pay to him, in respect of the grant of the licence to the applicant, the amount specified in that behalf in that instrument.
[(4) and (5) repealed]
(6)An application under this section —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall be accompanied by the particulars referred to in section 41(1)(c);
(d)in the case of an application under subsection (1), shall specify, in accordance with the requirement in the instrument by which applications were invited, the amount or the rate of royalty that the applicant would be prepared to pay; and
[(e)deleted]
(f)may set out any other matters that the applicant wishes the Minister to consider.
(7)The Minister may, at any time, by instrument in writing served on the applicant, require him to furnish, within the period specified in the instrument, further information in connection with his application.
[Section 47 amended by No. 12 of 1990 s.182; No. 11 of 1994 s.9; No. 28 of 1994 s.95.]
(1)An application under section 47 shall be accompanied by —
(a)the prescribed fee; and
(b)a deposit —
(i)if the applicant has specified an amount that he would be prepared to pay in respect of the grant of a licence to him on the application, of 10% of that amount; or
(ii)if the Minister has in the instrument by which applications were invited stated an amount that the applicant will be required to pay in respect of the grant of a licence, of 10% of that amount.
(2)Where a licence is not granted on the application, the amount of the deposit shall, subject to subsection (3), be refunded to the applicant.
(3)Where an applicant on whom there has been served an instrument under section 49(1) does not request the Minister, under section 49(6), to grant to him the licence referred to in the instrument, the deposit shall not, unless the Minister otherwise determines, be refunded to the applicant.
[Section 48 amended by No. 12 of 1990 s.183.]
49.Request by applicant for grant of licence
(1)Where, at the expiration of the period specified in an instrument under section 47(1), only one application has been made under that subsection in respect of the block specified in the instrument, the Minister may reject the application or may, by instrument in writing served on the applicant, inform him that he is prepared to grant him a licence in respect of that block.
(2)Where, at the expiration of the period specified in an instrument under section 47(1), 2 or more applications have been made under that subsection in respect of the block specified in the instrument, the Minister may reject any or all of the applications and, if he does not reject all of the applications, may —
(a)if only one application remains unrejected, by instrument in writing served on the applicant; or
(b)if 2 or more applications remain unrejected, by instrument in writing served on the applicant, or on one of the applicants, whose application has not been rejected and who has specified in his application an amount, or a rate of royalty, that he would be prepared to pay that is not less than the amount, or the rate of royalty, specified in the application of any other applicant whose application has not been rejected,
inform the applicant —
(c)that the Minister is prepared to grant to the applicant a licence in respect of that block; and
(d)that the applicant will be required to pay —
(i)the amount specified in the application;
(ii)royalty at the rate specified in the application; or
(iii)royalty at the rate specified in the application and the amount specified in the instrument under section 47(1),
as the case may be.
[(3) and (4) repealed]
(5)An instrument under any of the preceding provisions of this section shall contain —
(a)a summary of the conditions subject to which the licence is to be granted;
(b)a statement of the balance of the amount, if any, that the applicant will be required to pay in respect of the grant of the licence to him; and
(c)a statement to the effect that the application will lapse —
(i)if the applicant does not make a request under subsection (6); or
(ii)in a case where the instrument contains a statement referred to in paragraph (b), if the applicant does not pay the balance of the amount referred to in that statement or enter into an agreement under section 109 in respect of that balance.
(6)An applicant on whom there has been served an instrument under any of the preceding provisions of this section may, within a period of 3 months after the date of service of the instrument on him, or within such further period, not exceeding 3 months, as the Minister, on application in writing served on him before the expiration of the first‑mentioned period of 3 months, allows —
(a)by instrument in writing served on the Minister, request the Minister to grant to him the licence; and
(b)if the first‑mentioned instrument contains a statement of the balance of an amount that the applicant will be required to pay in respect of the grant of the licence to him, pay that balance or enter into an agreement under section 109 in respect of that balance.
(7)Where an applicant on whom there has been served an instrument under subsection (1) or (2) —
(a)has not made a request under subsection (6); or
(b)if the instrument contains a statement of the balance of an amount that the applicant will be required to pay in respect of the grant of a licence to him, has not paid that balance or entered into an agreement under section 109 in respect of that balance,
within the period applicable under subsection (6), the application lapses upon the expiration of that period.
(8)Where the application of an applicant on whom there has been served an instrument under subsection (2) lapses as provided by subsection (7), subsection (2) applies in respect of the application or applications, if any, then remaining unrejected.
[Section 49 amended by No. 12 of 1990 s.184; No. 28 of 1994 s.96.]
50.Grant of licence on request
Where an applicant on whom there has been served an instrument under section 49 —
(a)has made a request under section 49(6); and
(b)if the instrument contains a statement of the balance of an amount that the applicant will be required to pay in respect of the grant of a licence to him, has paid that balance or entered into an agreement under section 109 in respect of that balance,
within the period applicable under section 49(6), the Minister shall grant to him a production licence for petroleum in respect of the block specified in the instrument.
[Section 50 amended by No. 28 of 1994 s.97.]
51.Grant of licences in respect of individual blocks
(1)Where a licence (in this section called “the original licence”) is in force in respect of 2 or more blocks (not being blocks that form, or form part of, a location), the licensee may make an application to the Minister for the grant to him of 2 or more licences in respect of the blocks the subject of the original licence in exchange for the original licence.
(2)An application under subsection (1) —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall specify the number of licences required;
(d)shall specify the block or blocks the subject of the original licence in respect of which each licence is sought; and
(e)shall be accompanied by the prescribed fee.
[(3)repealed]
(4)Where a licensee has made an application under this section, the Minister shall grant to the licensee production licences for petroleum in accordance with the application.
(5)A licence granted on an application under this section —
(a)remains in force, subject to this Part, but notwithstanding section 53, for the remainder of the term of the original licence; and
(b)shall be granted subject to conditions corresponding as nearly as may be to the conditions to which the original licence was subject.
(6)Where licences are granted on an application under this section —
(a)the original licence is, by force of this subsection, determined; and
(b)the determination has effect on and from the day on which those licences come into force.
[Section 51 amended by No. 12 of 1990 s.185; No. 28 of 1994 s.98.]
52.Rights conferred by licence
A licence, while it remains in force, authorizes the licensee, subject to this Act and the regulations and in accordance with the conditions to which the licence is subject —
(a)to recover petroleum in the licence area and to recover petroleum from the licence area in another area to which he has lawful access for that purpose;
(b)to explore for petroleum in the licence area; and
(c)to carry on such operations and execute such works in the licence area as are necessary for those purposes.
[52A.Repealed by No. 52 of 1995 s.39.]
Subject to this Part, a licence remains in force —
(a)in the case of a licence granted otherwise than by way of renewal of a licence, for the period of 21 years commencing on the day on which the licence is granted or, if a later day is specified in the licence as being the day on which the licence is to come into force, on the later day;
(b)in the case of a licence granted by way of the first renewal of a licence, for the period of 21 years commencing on the day on which the licence is granted or, if a later date is specified in the licence as being the day on which the licence is to come into force, on that later day; and
(c)in the case of a licence granted by way of the renewal, other than the first renewal, of a licence, for such period, commencing on the day on which the licence is granted, or, if a later day is specified in the licence as being the day on which the licence is to come into force, on that later day, as the Minister determines and specifies in the licence, being a period not exceeding 21 years.
[Section 53 amended by No. 12 of 1990 s.186.]
54.Application for renewal of licence
(1)A licensee may, from time to time, make an application to the Minister for the renewal of the licence.
(2)An application for the renewal of the licence —
(a)shall be in accordance with an approved form;
(b)subject to subsection (3), shall be made in an approved manner not less than 6 months before the day on which the licence ceases to be in force;
(c)shall be accompanied by particulars of the proposals of the licensee for work and expenditure in respect of the licence area; and
(d)shall be accompanied by the prescribed fee.
(3)The Minister may, for reasons that he thinks sufficient, receive an application for the renewal of the licence less than 6 months before, but not in any case after, the day on which the licence ceases to be in force.
[Section 54 amended by No. 12 of 1990 s.187.]
55.Grant or refusal of renewal of licence
(1)Where —
(a)an application for the renewal of a licence has been made under section 54; and
(b)the conditions to which the licence is, or has from time to time been, subject and the provisions of this Part and of the regulations have been complied with,
the Minister —
(c)shall, if the application is in respect of the first renewal of the licence; or
(d)may, if the application is in respect of a renewal other than the first renewal of the licence,
by instrument in writing served on the person who is then the licensee, inform that person that the Minister is prepared to grant to that person the renewal of the licence.
(2)Where —
(a)an application for the renewal of a licence has been made under section 54; and
(b)any of the conditions to which the licence is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with, but the Minister is, nevertheless, satisfied that special circumstances exist that justify the granting of the renewal of the licence,
the Minister may, by instrument in writing served on the person who is then the licensee, inform the person that the Minister is prepared to grant to that person the renewal of the licence.
(3)If any of the conditions to which the licence is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with, and if the Minister is not satisfied that special circumstances exist that justify the granting of the renewal of the licence, the Minister shall, subject to subsection (4), by instrument in writing served on the person who is then the licensee, refuse to grant the renewal of the licence.
(4)The Minister shall not, under subsection (3), refuse to grant the renewal of a licence unless —
(a)he has, by instrument in writing served on the licensee, given not less than one month’s notice of his intention to refuse to grant the renewal of the licence;
(b)he has served a copy of the instrument on such other persons, if any, as he thinks fit;
(c)he has, in the instrument —
(i)given particulars of the reasons for the intention; and
(ii)specified a date on or before which the licensee or a person on whom a copy of the instrument is served may, by instrument in writing served on the Minister, submit any matters that he wishes the Minister to consider;
and
(d)he has taken into account any matters so submitted to him on or before the specified date by the licensee or by a person on whom a copy of the first‑mentioned instrument has been served.
(5)Where an application has been made under section 54 in respect of a renewal other than the first renewal of the licence, the Minister may, by instrument in writing served on the person who is then the licensee, refuse to grant the renewal of the licence.
[(6)repealed]
(7)An instrument under subsection (1) or (2) shall contain —
(a)a summary of the conditions to which the licence, on the grant of the renewal, is to be subject; and
(b)a statement to the effect that the application will lapse if the licensee does not make a request under subsection (8).
(8)A licensee on whom there has been served an instrument under subsection (1) or (2) may, within a period of one month after the date of service of the instrument on him, by instrument in writing served on the Minister, request the Minister to grant to him the renewal of the licence.
(9)Where a licensee on whom there has been served an instrument under subsection (1) or (2) has made a request under subsection (8) within the period referred to in subsection (8), the Minister shall grant to him the renewal of the licence.
(10)Where a licensee on whom there has been served an instrument under subsection (1) or (2) has not made a request under subsection (8) within the period referred to in subsection (8), the application lapses upon the expiration of that period.
(11)Where —
(a)an application for the renewal of a licence is made under section 54; and
(b)the licence expires —
(i)before the Minister grants, or refuses to grant, the renewal of the licence; or
(ii)before the application lapses as provided by subsection (10),
the licence shall be deemed to continue in force in all respects —
(c)until the Minister grants, or refuses to grant, the renewal of the licence; or
(d)until the application so lapses,
whichever first happens.
[Section 55 amended by No. 28 of 1994 s.99.]
A licence may be granted subject to such conditions as the Minister thinks fit and specifies in the licence.
[57.Repealed by No. 12 of 1990 s.188(1) 5.]
58.Directions as to recovery of petroleum
(1)Where petroleum is not being recovered in a licence area and the Minister is satisfied that there is recoverable petroleum in that area, he may, by instrument in writing served on the licensee, direct the licensee to take all necessary and practicable steps to recover that petroleum.
(2)Where the Minister is not satisfied with the steps taken or being taken by a licensee to whom a direction has been given under subsection (1), the Minister may, by instrument in writing served on the licensee, give to the licensee such directions as the Minister thinks necessary for or in relation to the recovery of petroleum in the licence area.
(3)Where petroleum is being recovered in a licence area, the Minister may, for reasons that he thinks sufficient, by instrument in writing served on the licensee, direct the licensee to take all necessary and practicable steps to increase or reduce the rate at which petroleum is being recovered in the licence area or from a petroleum pool in the licence area to such rate as the Minister specifies in the instrument.
(4)Where the Minister is not satisfied with the steps taken or being taken by a licensee to whom a direction has been given under subsection (3), the Minister may, by instrument in writing served on the licensee, give to the licensee such directions as the Minister thinks necessary for or in relation to the increase or reduction of the rate at which petroleum is being recovered in the licence area or from a petroleum pool in the licence area.
(5)Without limiting the matters that may be taken into account by the Minister in determining whether to give a direction under subsection (3) or (4), the Minister may take into account matters relating to the effects on State revenue of the proposed direction, but the Minister shall not give a direction under subsection (3) or (4) if the direction would require action to be taken that is contrary to good oil‑field practice.
[Section 58 amended by No. 12 of 1990 s.189.]
(1)In this section, the expression “unit development”—
(a)applies in relation to a petroleum pool that is partly in a particular licence area of a licensee and partly in a licence area of another licensee or in an area that is not within the adjacent area but in which a person other than the first‑mentioned licensee is lawfully entitled to carry on operations for the recovery of petroleum from the pool; and
(b)means the carrying on of operations for the recovery of petroleum from that pool under cooperative arrangements between the persons entitled to carry on such operations in each of those areas.
(2)A licensee may from time to time enter into an agreement in writing for or in relation to the unit development of a petroleum pool, but nothing in this subsection derogates from the operation of section 81(2).
(3)The Minister of his own motion or on application made to him in writing by —
(a)a licensee in whose licence area there is a part of a particular petroleum pool; or
(b)a person who is lawfully entitled to carry on operations for the recovery of petroleum in an area outside the adjacent area that includes part of a particular petroleum pool that extends into the adjacent area,
may, for the purpose of securing the more effective recovery of petroleum, from the petroleum pool, direct any licensee whose licence area includes part of the petroleum pool, by instrument in writing served on the licensee, to enter into an agreement in writing, within the period specified in the instrument, for or in relation to the unit development of the petroleum pool and to lodge an application in accordance with section 81 for approval of any dealing to which the agreement relates.
(4)Where —
(a)a licensee who is directed, under subsection (3), to enter into an agreement for or in relation to the unit development of a petroleum pool does not enter into such an agreement within the specified period; or
(b)a licensee enters into such an agreement but an application for approval of a dealing to which the agreement relates is not lodged with the Minister or, if an application is so lodged, the dealing is not approved under section 81,
the Minister may, by instrument in writing served on the licensee, direct the licensee to submit to him, within the period specified in the instrument, a scheme for or in relation to the unit development of the petroleum pool.
(5)At any time after the expiration of the period within which a scheme for or in relation to the unit development of a petroleum pool is to be submitted by a licensee under subsection (4), the Minister may, by instrument in writing served on the licensee, give to the licensee such directions as the Minister thinks necessary for the purpose of securing the more effective recovery of petroleum from the petroleum pool.
(6)Where a person is the licensee in respect of 2 or more licence areas in each of which there is part of a particular petroleum pool, the Minister may, by instrument in writing served on the licensee, give to the licensee such directions as the Minister thinks necessary for the purpose of securing the more effective recovery of petroleum from the petroleum pool.
(7)Where an agreement under this section is in force or the Minister has given directions under subsection (5) or (6), the Minister may, having regard to additional information that has become available, by instrument in writing served on the licensee or licensees concerned, give to the licensee or licensees such directions, or further directions, as the case may be, as he thinks necessary for the purpose of securing the more effective recovery of petroleum from the petroleum pool.
(8)The Minister shall not give a direction under subsection (6) or (7) unless he has given to the licensee or licensees concerned an opportunity to confer with him concerning the proposed direction.
(9)Directions under subsection (5), (6) or (7) may include directions as to the rate at which petroleum is to be recovered.
(10)In this section, “dealing” means a dealing to which section 81 applies.
(11)The Minister shall —
(a)if a petroleum pool extends, or is reasonably believed by him to extend, from the adjacent area into lands to which the laws of another State or the Northern Territory relating to the exploitation of petroleum resources apply, consult with the appropriate authority of that State or the Northern Territory concerning the exploitation of the petroleum pool;
(b)if a petroleum pool extends, or is reasonably believed by him to extend, from the adjacent area into the adjacent area in respect of a State (other than Western Australia) within the meaning of the Commonwealth Act, or the adjacent area in respect of the Northern Territory, within the meaning of that Act, consult with the Designated Authority under the Commonwealth Act in respect of that State or the Northern Territory concerning the exploitation of the petroleum pool; or
(c)if both paragraph (a) and paragraph (b) apply, comply with both of those paragraphs.
(12)Where subsection (11) applies in relation to a petroleum pool, the Minister shall not approve an agreement under this section, or give a direction under this section, in relation to that petroleum pool except with the approval of any other authority or Designated Authority required by that subsection to be consulted.
[Section 59 amended by No. 12 of 1990 s.190.]
Division 4 — Pipeline licences
59A.Interpretation in Division 4
In this Division —
“the adjacent area” means, subject to section 5(1), so much of the area the boundary of which is described in Schedule 2 as is part of the territorial sea of Australia, including the territorial sea adjacent to any island forming part of Western Australia, and includes an area which is —
(a)within the area the boundary of which is described in Schedule 2; and
(b)seaward of the coastline of Western Australia at mean low water and landward of the inner limit of the territorial sea of Australia.
[Section 59A inserted by No. 12 of 1990 s.191.]
59B.Deemed location of portion of North Rankin Platform A Pipeline
(1)That portion of the North Rankin Platform A Pipeline that is —
(a)within the area the boundary of which is described in Schedule 2; and
(b)seaward of the coastline of Western Australia at mean low water and landward of the inner limit of the territorial sea of Australia,
shall be deemed to be, and since the commencing day to have been, within the State jurisdiction of the State of Western Australia for the purposes of Schedule 3.
(2)In subsection (1) —
“commencing day” has the meaning given by clause 1(1) of Schedule 3;
“the North Rankin Platform A Pipeline” means the pipeline which is the subject of pipeline licence WA‑1‑PL —
(a)granted under the Commonwealth Act; and
(b)deemed by clause 4(1) of Schedule 3 to comprise 2 pipeline licences, being a pipeline licence under the Commonwealth Act and a pipeline licence under this Act.
[Section 59B inserted by No. 12 of 1990 s.191.]
60.Construction, etc., of pipeline, etc.
(1)A person shall not, in the adjacent area —
(a)commence or continue the construction, or the alteration or reconstruction, of a pipeline; or
(b)operate a pipeline,
except under and in accordance with a pipeline licence.
(2)A person shall not, in the adjacent area —
(a)commence or continue the construction, or the alteration or reconstruction, of a secondary line or water line; or
(b)operate a secondary line or water line,
except with, and in accordance with, a consent in writing of the Minister.
(3)A person shall not, in the adjacent area —
(a)commence or continue the construction, or the alteration or reconstruction, of a pumping station, tank station or valve station; or
(b)operate a pumping station, tank station or valve station,
except under and in accordance with a pipeline licence or with, and in accordance with, a consent in writing of the Minister.
(4)A person shall not, in the adjacent area, commence to operate a pipeline, a secondary line or a water line unless —
(a)in the case of a pipeline, it has been constructed and tested in accordance with the pipeline licence;
(b)in the case of a secondary line or water line it has been constructed and tested in accordance with a consent in writing of the Minister; and
(c)the Minister has certified in writing that he is satisfied that the pipeline, secondary line or water line, as the case may be, has been so constructed and tested and is fit to be operated.
(5)A person shall not, in the adjacent area, recommence to operate a pipeline, a secondary line or a water line, the previous operation of which was discontinued, except with, and in accordance with, a consent in writing of the Minister.
(6)The Minister may, for reasons that he thinks sufficient, refuse to give a consent or certificate for the purposes of this section and, where he gives a consent, may attach conditions to it.
Penalty: $50 000 or imprisonment for 5 years, or both.
61.Acts done in an emergency, etc.
It is not an offence against section 60 —
(a)if, in an emergency in which there is a likelihood of loss or injury, or for the purpose of maintaining a pipeline, water line, pumping station, tank station, valve station or secondary line in good order or repair, a person does an act to avoid the loss or injury or to maintain the pipeline, water line, pumping station, tank station, valve station or secondary line in good order and repair and —
(i)as soon as practicable notifies the Minister of the act done; and
(ii)complies with any directions given to him by the Minister;
or
(b)if a person does an act in compliance with a direction under this Act or the regulations.
62.Removal of pipeline, etc., constructed in contravention of Act
(1)Where —
(a)the construction of a pipeline, water line, pumping station, tank station, valve station or secondary line is commenced, continued or completed in contravention of this Act; or
(b)a pipeline, water line, pumping station, tank station, valve station or secondary line is altered or reconstructed in contravention of this Act,
the Minister may, by instrument in writing served on the appropriate person, direct him —
(c)to make such alterations to the pipeline, water line, pumping station, tank station, valve station or secondary line as are specified in the instrument; or
(d)to move the pipeline, water line, pumping station, tank station, valve station or secondary line to a specified place in, or to remove it from, the adjacent area,
within the period specified in the instrument.
(2)For the purpose of subsection (1), the appropriate person is —
(a)if the construction of the pipeline, water line, pumping station, tank station, valve station or secondary line has been completed, the owner of the pipeline, water line, pumping station, tank station, valve station or secondary line; or
(b)if the construction of the pipeline, water line, pumping station, tank station, valve station or secondary line has not been completed, the person for whom the pipeline, water line, pumping station, tank station, valve station or secondary line is being constructed.
(3)Where a person on whom there has been served an instrument under subsection (1) does not, within the period specified in the instrument or within such further period, if any, as the Minister, on application in writing served on him before the expiration of the first‑mentioned period, allows, comply with the direction, the Minister may do all or any of the things required by the direction to be done.
(4)Costs and expenses incurred by the Minister under subsection (3) are a debt due by the person referred to in that subsection to the State and are recoverable in a court of competent jurisdiction.
The Minister may, by instrument published in the Gazette, declare a pumping station, a tank station or a valve station in the adjacent area to be a terminal station.
64.Applications for pipeline licence
(1)An application for a pipeline licence —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall be accompanied by particulars of —
(i)the proposed design and construction of the pipeline;
(ii)the proposed size and capacity of the pipeline;
(iii)the proposals of the applicant for work and expenditure in respect of the construction of the pipeline;
(iv)the technical qualifications of the applicant and of his employees;
(v)the technical advice available to the applicant;
(vi)the financial resources available to the applicant; and
(vii)any agreements entered into, or proposed to be entered into, by the applicant for or in relation to the supply or conveyance of petroleum by means of the pipeline;
(d)shall be accompanied by a plan, drawn to an approved scale, showing —
(i)the route to be followed by the pipeline;
(ii)the sites of pumping stations, tank stations and valve stations to be used in connection with the pipeline; and
(iii)the site of any pumping station, tank station or valve station that the applicant desires to be declared under section 63 to be a terminal station in connection with the pipeline;
(e)may set out any other matters that the applicant wishes the Minister to consider; and
(f)shall be accompanied by the prescribed fee.
(2)Where a notice is published in the Gazette —
(a)of an application by a person other than the licensee for a pipeline licence in respect of the construction of a pipeline for the conveyance of petroleum recovered in a licence area; or
(b)of an application by a person other than the pipeline operator under the Commonwealth Act or a corresponding law for a pipeline licence in respect of the construction of a pipeline for the conveyance of petroleum recovered in a licence area under the Commonwealth Act or a corresponding law,
the licensee or, as the case may be, the pipeline operator under the Commonwealth Act or a corresponding law may, within a period of 3 months after the date of publication of the notice, or within such further period, not exceeding 3 months, as the Minister, on application in writing served on him before the expiration of the first‑mentioned period of 3 months, allows, make an application for a pipeline licence referred to in paragraph (a) or (b), as the case requires, and in the application request that the application referred to in the notice be rejected.
(3)Where —
(a)a notice referred to in subsection (2) is published in the Gazette; and
(b)a pipeline licence is granted to the licensee or to the pipeline operator under the Commonwealth Act or a corresponding law on an application under subsection (2),
the Minister shall, by instrument in writing served on the applicant, reject the application referred to in the notice.
(4)The Minister may, at any time, by instrument in writing served on a person who has made an application under this section, require him to furnish, within the time specified in the instrument, further information in writing in connection with his application.
(5)In this section, “pipeline operator under the Commonwealth Act or a corresponding law” has the same meaning as in section 65.
[Section 64 amended by No. 12 of 1990 s.192 2.]
65.Grant or refusal of pipeline licence
(1)Where a person makes an application in accordance with section 64, the Minister —
(a)may, if that person is not the licensee and the application has not been rejected under section 64(3); or
(b)shall, if the application is by a pipeline operator under the Commonwealth Act or a corresponding law,
inform the applicant, by instrument in writing served on the applicant, that the Minister is prepared to grant a pipeline licence to the applicant.
(2)Where an application for a pipeline licence in respect of the construction in the adjacent area of a pipeline for the conveyance of petroleum recovered in a licence area in respect of which the applicant is the licensee is made in accordance with section 64 by the licensee, the Minister —
(a)shall, if the conditions to which the licence is, or has from time to time been, subject and the provisions of this Part and of the regulations have been complied with; or
(b)may, if —
(i)any of the conditions to which the licence is, or has from time to time been, subject of any of the provisions of this Part and of the regulations has not been complied with; and
(ii)the Minister is, nevertheless, satisfied that special circumstances exist that justify the granting of a pipeline licence,
by instrument in writing served on the person who is then the licensee inform the person that the Minister is prepared to grant to the person a pipeline licence.
(3)Where an application for a pipeline licence in respect of the construction in the adjacent area of a pipeline for the conveyance of petroleum recovered in a licence area in respect of which the applicant is the licensee is made in accordance with section 64 by the licensee, the Minister shall, if —
(a)any of the conditions to which the pipeline licence is, or has from time to time been, subject or any of the provisions of this Part and the regulations has not been complied with; and
(b)the Minister is not satisfied that special circumstances exist that justify the granting of the pipeline licence,
by instrument in writing served on the person who is then the licensee, refuse to grant the pipeline licence.
(4)The Minister shall not, under subsection (3), refuse to grant a pipeline licence to a licensee unless —
(a)he has, by instrument in writing served on the licensee, given not less than one month’s notice of his intention to refuse to grant the pipeline licence;
(b)he has served a copy of the instrument on such other persons, if any, as he thinks fit;
(c)he has, in the instrument —
(i)given particulars of the reasons for the intention; and
(ii)specified a date on or before which the licensee or a person on whom a copy of the instrument is served may, by instrument in writing served on the Minister, submit any matters that he wishes the Minister to consider;
and
(d)he has taken into account any matters so submitted to him on or before the specified date by the licensee or by a person on whom a copy of the first‑mentioned instrument has been served.
(5)Where a person other than the licensee or the pipeline operator under the Commonwealth Act or a corresponding law makes an application in accordance with section 64 for a pipeline licence in respect of the construction of a pipeline for the conveyance of petroleum recovered in a licence area or, as the case may be, a licence area under the Commonwealth Act or a corresponding law, the Minister may, by instrument in writing served on the applicant, refuse to grant a pipeline licence.
[(6)repealed]
(7)An instrument under subsection (1) or (2) —
(a)shall specify the route to be followed by the pipeline;
(b)shall contain a summary of the conditions subject to which the pipeline licence is to be granted; and
(c)shall contain a statement to the effect that the application will lapse if the applicant does not make a request under subsection (9).
(8)The route to be specified in an instrument under subsection (1) or (2) shall be —
(a)the route shown in the plan accompanying the application; or
(b)if the Minister is of the opinion that, for any reason, that route is not appropriate, a route that, in the opinion of the Minister, is appropriate.
(9)A person on whom there has been served an instrument under subsection (1) or (2) may, within a period of 3 months after the date of service of the instrument on him, or within such further period, not exceeding 3 months, as the Minister, on application in writing served on him before the expiration of the first‑mentioned period of 3 months, allows, by instrument in writing served on the Minister, request the Minister to grant to him the pipeline licence.
(10)Where a person on whom there has been served an instrument under subsection (1) or (2) has made a request under subsection (9) within the period applicable under subsection (9), the Minister shall grant to that person a licence to construct and operate a pipeline in respect of the pipeline specified in the instrument.
(11)Where a person on whom there has been served an instrument under subsection (1) or (2) has not made a request under subsection (9) within the period applicable under subsection (9), the application lapses upon the expiration of that period.
[(12)repealed]
(13)In this section, “pipeline operator under the Commonwealth Act or a corresponding law” means a person who is entitled under the Commonwealth Act or a corresponding law to carry on operations for the recovery of petroleum in an area outside the adjacent area and who the Minister is satisfied is or will be entitled to construct a pipeline from the first‑mentioned area to the boundary of the adjacent area.
[Section 65 amended by No. 12 of 1990 s.193 2; No. 28 of 1994 s.100.]
66.Rights conferred by pipeline licence 2
A pipeline licence, while it remains in force, authorizes the pipeline licensee, subject to this Act and the regulations and in accordance with the conditions to which the pipeline licence is subject —
(a)to construct in the adjacent area —
(i)a pipeline of the design, construction, size and capacity specified in the pipeline licence along the route, and in the position in relation to the seabed in the adjacent area, so specified; and
(ii)the pumping stations, tank stations and valve stations so specified in the positions so specified;
(b)to operate that pipeline and those pumping stations, tank stations and valve stations; and
(c)to carry on such operations, to execute such works and to do all such other things in the adjacent area as are necessary for or incidental to the construction and operation of that pipeline and of those pumping stations, tank stations and valve stations.
[66A.Repealed by No. 52 of 1995 s.40.]
(1)Subject to this Part, a pipeline licence remains in force —
(a)for a period of 21 years; or
(b)where the Minister is of the opinion that having regard to the dates of expiration of the licences that relate to the licence areas from which petroleum is, or is to be, conveyed by means of the pipeline, it is not necessary for the pipeline licence to remain in force for a period of 21 years, for such period less than 21 years as the Minister determines and specifies in the pipeline licence.
(2)A pipeline licence comes into force on the day on which the pipeline licence is granted or, if a later day is specified in the pipeline licence as being the day on which the pipeline licence is to come into force, on that later day.
[Section 67 amended by No. 12 of 1990 s.194 2.]
68.Application of renewal for pipeline licence
(1)A pipeline licensee may, from time to time, make an application to the Minister for the renewal of the pipeline licence.
(2)An application for the renewal of the pipeline licence —
(a)shall be in accordance with an approved form;
(b)subject to subsection (3), shall be made in an approved manner not less than 6 months before the day on which the pipeline licence ceases to be in force; and
(c)shall be accompanied by the prescribed fee.
(3)The Minister may, for reasons that he thinks sufficient, receive an application for the renewal of the pipeline licence less than 6 months before, but not in any case after, the day on which the pipeline licence ceases to be in force.
[Section 68 amended by No. 12 of 1990 s.195.]
69.Grant or refusal of renewal of pipeline licence
(1)Where an application has been made under section 68 for the renewal of a pipeline licence, the Minister —
(a)shall, if the conditions to which the pipeline licence is, or has from time to time been, subject and the provisions of this Part and of the regulations have been complied with; or
(b)may, if —
(i)any of the conditions to which the pipeline licence is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with; and
(ii)the Minister is, nevertheless, satisfied that special circumstances exist that justify the granting of the renewal of the pipeline licence,
by instrument in writing served on the person who is then the pipeline licensee, inform that person that the Minister is prepared to grant to that person the renewal of the pipeline licence.
(2)Where an application has been made under section 68 for the renewal of a pipeline licence, the Minister shall, if —
(a)any of the conditions to which the pipeline licence is, or has from time to time been, subject or any of the provisions of this Part and of the regulations has not been complied with; and
(b)the Minister is not satisfied that special circumstances exist that justify the granting of the renewal of the pipeline licence,
by instrument in writing served on the person who is then the pipeline licensee, refuse to grant the renewal of the pipeline licence.
(3)The Minister shall not refuse to grant the renewal of the pipeline licence unless —
(a)he has, by instrument in writing served on the pipeline licensee, given not less than one month’s notice of his intention to refuse to grant the renewal of the pipeline licence;
(b)he has served a copy of the instrument on such other persons, if any, as he thinks fit;
(c)he has, in the instrument —
(i)given particulars of the reasons for the intention; and
(ii)specified a date on or before which the pipeline licensee or a person on whom a copy of the instrument is served may, by instrument in writing served on the Minister, submit any matters that he wishes the Minister to consider;
and
(d)he has taken into account any matters so submitted to him on or before the specified date by the pipeline licensee or by a person on whom a copy of the first‑mentioned instrument has been served.
(4)An instrument under subsection (1) shall contain —
(a)a summary of the conditions to which the pipeline licence, on the grant of the renewal, is to be subject; and
(b)a statement to the effect that the application will lapse if the pipeline licensee does not make a request under subsection (5).
(5)A pipeline licensee on whom there has been served an instrument under subsection (1) may, within a period of one month after the date of service of the instrument on him, by instrument in writing served on the Minister, request the Minister to grant to him the renewal of the pipeline licence.
(6)Where a pipeline licensee on whom there has been served an instrument under subsection (1) has made a request under subsection (5), within the period referred to in subsection (5), the Minister shall grant to him the renewal of the pipeline licence.
(7)Where a pipeline licensee on whom there has been served an instrument under subsection (1) has not made a request under subsection (5) within the period referred to in subsection (5), the application lapses upon the expiration of that period.
(8)Where —
(a)an application for the renewal of a pipeline licence is made under section 68; and
(b)the pipeline licence expires —
(i)before the Minister grants, or refuses to grant, the renewal of the pipeline licence; or
(ii)before the application lapses as provided by subsection (7),
the pipeline licence shall be deemed to continue in force in all respects —
(c)until the Minister grants, or refuses to grant, the renewal of the pipeline licence; or
(d)until the application so lapses, whichever first happens.
[Section 69 amended by No. 28 of 1994 s.101.]
70.Conditions of pipeline licence
(1)A pipeline licence may be granted subject to such conditions as the Minister thinks fit and specifies in the pipeline licence.
(2)The conditions referred to in subsection (1) may include a condition that the pipeline licensee shall complete the construction of the pipeline within the period specified in the pipeline licence.
(3)This section extends to a pipeline licence granted by way of the renewal of a pipeline licence and, in the case of a pipeline licence so granted, the conditions may include conditions varying or adding to the conditions of the previous licence and conditions requiring reconstruction or modification of the pipeline or of associated works.
71.Variation of pipeline licence on application by pipeline licensee
(1)A pipeline licensee may, at any time, make an application to the Minister for the variation of the pipeline licence.
(2)An application under this section —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall be accompanied by particulars of the proposed variation;
(d)shall specify the reasons for the proposed variation; and
(e)shall be accompanied by the prescribed fee.
(3)The Minister may, at any time, by instrument in writing served on a person who has made an application under this section require him to furnish, within the period specified in the instrument, further information in writing in connection with his application.
(4)The Minister shall, in a notice published in the Gazette of an application under this section, specify a period within which a person may submit to the Minister, in writing, any matters that he wishes the Minister to consider in connection with the application.
(5)After considering any matters submitted to him under subsection (4) the Minister may, by instrument in writing, vary the pipeline licence to such extent as he thinks necessary or may refuse to vary the pipeline licence.
[Section 71 amended by No. 12 of 1990 s.196.]
72.Variation of pipeline licence by Minister
(1)The Minister may —
(a)at the request of —
(i)a Minister of the Crown of the State or a Minister of State of the Commonwealth; or
(ii)a body established by a law of the Commonwealth or of the State;
and
(b)if, in his opinion, it is in the public interest so to do,
by instrument in writing served on a person who is a pipeline licensee or the holder of an instrument of consent under section 60, direct that person to make such changes in the design, construction, route or position of the pipeline, or of a water line, pumping station, tank station, valve station or secondary line to which the pipeline licence or instrument of consent relates, as are specified in the first‑mentioned instrument, within the period specified in the first‑mentioned instrument, and, if the person so directed is a pipeline licensee, shall vary the pipeline licence accordingly.
(2)A person to whom a direction is given under subsection (1) shall comply with the direction.
Penalty: $50 000 or imprisonment for 5 years, or both.
(3)Where the Minister gives a direction under subsection (1), and the person to whom the direction was given has complied with the direction, that person may bring an action in the Supreme Court against the Minister, Minister of State of the Commonwealth or body making the request.
(4)The Supreme Court shall hear the action, without a jury, and shall determine whether it is just that the whole or a portion of the reasonable cost of complying with the direction ought to be paid to the plaintiff by the defendant.
(5)If the Supreme Court determines that it is just that such a payment ought to be made, the Supreme Court shall determine the amount of the payment and give judgment accordingly.
(1)The Minister may, by instrument in writing served on a pipeline licensee, direct the pipeline licensee to be a common carrier of petroleum in respect of the pipeline and thereupon the pipeline licensee is a common carrier of petroleum in respect of the pipeline.
(2)The Minister cannot give a direction under subsection (1) in respect of a pipeline if it is a Code pipeline as defined in the Gas Pipelines Access (Western Australia) Law 6.
(3)While a direction is in force under subsection (1) in respect of a pipeline it cannot become a Code pipeline for the purposes of the Gas Pipelines Access (Western Australia) Law 6.
[Section 73 amended by No. 65 of 1998 s.89.]
74.Ceasing to operate pipeline
(1)Except with the consent in writing of the Minister and subject to compliance with such conditions, if any, as are specified in the instrument of consent, a pipeline licensee shall not cease to operate the pipeline.
Penalty: $50 000 or imprisonment for 5 years, or both.
(2)It is not an offence against subsection (1) if the failure of the pipeline licensee to operate the pipeline —
(a)was in the ordinary course of operating the pipeline;
(b)was for the purpose of repairing or maintaining the pipeline; or
(c)was in an emergency in which there was a likelihood of loss or injury.
[Division 4A (section 74A to 74I.) Repealed by No. 52 of 1995 s.41.]
Division 5 — Registration of instruments
74J.Interpretation in Division 5
In this Division, “title” means a permit, lease, licence, pipeline licence or access authority.
[Section 74J: formerly 74A inserted by No. 12 of 1990 s.197 redesignated by No. 21 of 1993 s.45.]
75.Register of certain instruments to be kept
For the purposes of this Part, the Minister shall keep a register of titles and special prospecting authorities granted by him.
[Section 75 amended by No. 12 of 1990 s.198.]
76.Particulars to be entered in register
(1)The Minister shall enter in the register a memorial in respect of each title or special prospecting authority —
(a)specifying the name of the holder of the title or special prospecting authority;
(b)in the case of a permit, lease or licence, setting out an accurate description (including, where convenient, a map) of the permit area, lease area or licence area;
(c)in the case of a special prospecting authority or an access authority, setting out an accurate description (including, where convenient, a map) of the area in respect of which the special prospecting authority or access authority is in force;
(d)in the case of a pipeline licence, setting out a description of the route of the pipeline;
(e)specifying the term of the title or special prospecting authority;
(f)setting out such other matters and things as are required by this Part to be entered in the register; and
(g)setting out such further matters relating to the registered holder or to the terms and conditions of the title or special prospecting authority as the Minister deems proper and expedient in the public interest.
(2)The Minister shall enter in the register a memorial of —
(a)any instrument varying, cancelling, surrendering or otherwise affecting a title or special prospecting authority;
(b)any instrument under section 59(5), (6) or (7);
(c)any agreement under section 109; and
(d)any instrument varying or revoking an instrument referred to in paragraph (a) or (b).
(3)It is a sufficient compliance with the requirements of subsection (1) or (2) if the Minister enters a copy of the title, special prospecting authority or instrument in the register.
[(4)repealed]
(5)The Minister shall endorse on the memorial or copy of the title, special prospecting authority or instrument a memorandum of the date upon which the memorial or copy was entered in the register.
[Section 76 amended by No. 12 of 1990 s.199.]
77.Memorials to be entered of permits, etc. determined, etc.
Where —
(a)a permit or lease ceases to be in force in respect of a block in respect of which a licence is granted;
(aa)a permit ceases to be in force in respect of a block in respect of which a lease is granted;
(b)a permit or lease has been wholly determined or partly determined; or
(c)a title or special prospecting authority has expired,
the Minister shall enter in the register a memorial of the fact.
[Section 77 amended by No. 12 of 1990 s.200.]
78.Approval and registration of transfers
(1)A transfer of a title is of no force until it has been approved by the Minister and an instrument of transfer is registered as provided by this section.
(2)Where it is desired that a title be transferred, one of the parties to the proposed transfer may make an application in writing to the Minister for approval of the transfer.
(3)An application for approval of a transfer of a title shall be accompanied by —
(a)an instrument of transfer in the prescribed form executed by the registered holder or, if there are 2 or more registered holders, by each registered holder and by the transferee or, if there are 2 or more transferees, by each transferee;
(b)in a case where the transferee or one or more of the transferees is not a registered holder or are not registered holders of the title, an instrument setting out —
(i)the technical qualifications of that transferee or those transferees;
(ii)details of the technical advice that is or will be available to that transferee or those transferees; and
(iii)details of the financial resources that are or will be available to that transferee or those transferees;
and
(c)one copy of the application and of the instrument referred to in paragraph (a).
(4)The Minister shall not approve the transfer of a title unless the application was lodged with the Minister within 3 months after the day on which the party who last executed the instrument of transfer so executed the instrument of transfer or within such longer period as the Minister, in special circumstances, allows.
(5)Where an application for approval of a transfer is made in accordance with this section, the Minister shall enter a memorandum in the register of the date on which the application was lodged and may make such other notation in the register as the Minister considers appropriate.
(6)The Minister shall consider each application for approval of the transfer of a title and determine whether to approve the transfer.
(7)Where an application for approval of the transfer of a title is made in accordance with this section, the Minister shall, by notice in writing served on the person who made the application, inform the person of the decision of the Minister.
[(8)repealed]
(9)Where the Minister approves the transfer of a title, the Minister shall forthwith endorse on the instrument of transfer and on one copy of the instrument a memorandum of approval and shall, on payment of the fee provided by the Registration Fees Act, enter in the register a memorandum of the transfer and the name of the transferee or of each transferee.
(10)Upon the entry in the register of a memorandum of the transfer of a title and of the name of the transferee or each transferee in accordance with subsection (9) —
(a)the transfer shall be deemed to be registered; and
(b)the transferee becomes the registered holder, or the transferees become the registered holders, of the title.
(11)Where the Minister refuses to approve the transfer of a title, the Minister shall make a notation of the refusal in the register.
(12)Where a transfer is registered —
(a)the copy of the instrument of transfer endorsed with the memorandum of approval shall be retained by the Minister and made available for inspection in accordance with this Division; and
(b)the instrument of transfer endorsed with the memorandum of approval shall be returned to the person who lodged the application for approval of the transfer.
(13)The mere execution of an instrument of transfer of a title creates no interest in the title.
[Section 78 inserted by No. 12 of 1990 s.201 7; amended by No. 28 of 1994 s.102.]
79.Entries in register on devolution of title
(1)A person upon whom the rights of a registered holder of a particular title have devolved by operation of law may apply in writing to the Minister to have his name entered in the register as the holder of the title.
(2)The Minister shall, if he is satisfied that the rights of the holder have devolved upon the applicant by operation of law and on payment of the prescribed fee enter the name of the applicant in the register as the holder of the title and, upon that entry being so made, the applicant becomes the registered holder of the title.
(3)Where a company that is the registered holder of a particular title has changed its name, it may apply in writing to the Minister to have its new name substituted for its previous name in the register in relation to that title and, if —
(a)the Minister is satisfied that the company has so changed its name; and
(b)the company has paid the prescribed fee,
the Minister shall make the necessary alterations in the register.
[Section 79 amended by No. 12 of 1990 s.202.]
[80.Repealed by Act No. 12 of 1990 s.203.]
81.Approval of dealings creating, etc., interests, etc., in existing titles
(1)This section applies to a dealing that would, but for subsection (2), have one or more of the following effects —
(a)the creation or assignment of an interest in an existing title;
(b)the creation or assignment of a right (conditional or otherwise) to the assignment of an interest in an existing title;
(c)the determining of the manner in which persons may exercise the rights conferred by, or comply with the obligations imposed by or the conditions of, an existing title (including the exercise of those rights or the compliance with those obligations or conditions under cooperative arrangements for the recovery of petroleum);
(d)the creation or assignment of —
(i)an interest in relation to an existing permit, lease or licence, being an interest known as an overriding royalty interest, a production payment, a net profits interest or a carried interest; or
(ii)any other interest that is similar to an interest referred to in subparagraph (i), being an interest relating to petroleum produced from operations authorized by an existing permit, lease or licence or relating to revenue derived as a result of the carrying out of operations of that kind;
(e)the creation or assignment of an option (conditional or otherwise) to enter into a dealing, being a dealing that has one or more of the effects referred to in paragraphs (a), (b), (c) and (d);
(f)the creation or assignment of a right (conditional or otherwise) to enter into a dealing, being a dealing that has one or more of the effects referred to in paragraphs (a), (b), (c) and (d);
(g)the alteration or termination of a dealing, being a dealing that has one or more of the effects referred to in paragraphs (a), (b), (c), (d), (e) and (f),
but this section does not apply to a transfer to which section 78 applies.
(2)A dealing to which this section applies is of no force in so far as the dealing would, but for this subsection, have an effect of a kind referred to in subsection (1) in relation to a particular title until —
(a)the dealing, in so far as it relates to that title, has been approved by the Minister; and
(b)an entry has been made in the register in relation to the dealing by the Minister in accordance with subsection (12).
(3)A party to a dealing to which this section applies may lodge with the Minister —
(a)in a case where the dealing relates to only one title, an application in writing for approval by the Minister of the dealing; or
(b)in any other case, a separate application in writing for approval by the Minister of the dealing in relation to each title to which the dealing relates.
(4)An application under subsection (3) for approval of a dealing —
(a)shall be accompanied by the instrument evidencing the dealing or, if that instrument has already been lodged with the Minister for the purposes of another application, a copy of that instrument; and
(b)may be accompanied by an instrument setting out such particulars (if any) as are prescribed for the purposes of an application for approval of a dealing of that kind.
(4a)An application under subsection (3) for approval of a dealing shall be accompanied by 2 copies of —
(a)the application;
(b)the instrument referred to in subsection (4)(a); and
(c)any instrument lodged for the purposes of subsection (4)(b).
(5)Subject to subsection (6), the Minister shall not approve a dealing unless the application for approval of the dealing is lodged with the Minister within 3 months after the day on which the party who last executed the instrument evidencing the dealing so executed the instrument or such longer period as the Minister, in special circumstances, allows.
(6)Where a dealing relating to a title was, immediately before the title came into existence, a dealing referred to in section 81A(1), the Minister shall not approve the dealing unless —
(a)a provisional application for approval of the dealing was lodged in accordance with section 81A(1); or
(b)an application for approval of the dealing is lodged with the Minister in accordance with this section within 3 months after the day on which the title came into existence or such longer period as the Minister, in special circumstances, allows.
(7)Where a dealing to which this section applies forms a part of the issue of a series of debentures, all of the dealings constituting the issue of that series of debentures shall, for the purposes of this section, be taken to be one dealing.
(8)Where a dealing to which this section applies (including a dealing referred to in subsection (7)) creates a charge over some or all of the assets of a body corporate, the person lodging the application for approval of the dealing shall be deemed to have complied with subsection (4)(a), and with subsection (4a) in so far as that subsection requires 2 copies of the document referred to in subsection (4)(a) to accompany the application, if the person lodges with the application 3 copies of each document required to be lodged with the National Companies and Securities Commission relating to the creation of that charge pursuant to section 201 of the Companies (Western Australia) Code 8 or pursuant to the corresponding provision of a law of the Commonwealth or another State or a Territory.
(9)On receipt of an application made under this section, the Minister shall enter a memorandum in the register of the date on which the application was lodged and may make such other notation in the register as the Minister considers appropriate.
(10)The Minister may approve or refuse to approve a dealing to which this section applies in so far as the dealing relates to a particular title.
(11)The Minister shall, by notice in writing served on the person who made an application for approval of a dealing, inform the person of the decision of the Minister.
(12)If the Minister approves a dealing, the Minister shall endorse on the original instrument evidencing the dealing and on one copy of that instrument or, if the original instrument was not lodged with the application, on 2 of the copies of that instrument a memorandum of approval and, on payment of the fee provided by the Registration Fees Act, make an entry of the approval of the dealing in the register on the memorial relating to, or on the copy of, the title in respect of which the approval is sought.
(13)Where an entry is made in the register in relation to a dealing in accordance with subsection (12) —
(a)if the dealing was approved before the commencement of section 203 of the Acts Amendment (Petroleum) Act 1990 1 or the application for approval of the dealing was not accompanied by an instrument for the purpose of subsection (4)(b), one copy of the instrument evidencing the dealing endorsed with a memorandum of approval shall be retained by the Minister and made available for inspection in accordance with this Division;
(b)if the application for approval of the dealing was accompanied by an instrument for the purpose of subsection (4)(b), a copy of that instrument endorsed with a copy of the memorandum of approval of the dealing shall be retained by the Minister and made available for inspection in accordance with this Division but a copy of the instrument evidencing the dealing shall not be so made available; and
(c)the original instrument evidencing the dealing, or a copy of the original instrument, as the case requires, endorsed with a memorandum of approval and the instrument (if any) lodged for the purpose of subsection (4)(b) shall be returned to the person who made the application for approval.
(14)The approval of a dealing or the making of an entry in the register in relation to a dealing is not rendered ineffective by any failure to comply, in relation to the application for approval of the dealing, with the requirements of this section.
(15)Where the Minister refuses to approve a dealing, the Minister shall make a notation of the refusal in the register.
(16)In this section, “charge” and “debenture” have the same respective meanings as they have for the purposes of section 201 of the Companies (Western Australia) Code 8.
[Section 81 inserted by No. 12 of 1990 s.203 9; amended by No. 73 of 1994 s.4.]
81A.Approval of dealings in future interests, etc.
(1)Where 2 or more persons enter into a dealing relating to a title that may come into existence in the future and that dealing would, if the title came into existence, become a dealing to which section 81 applies, a person who is a party to the dealing may, during the prescribed period in relation to the title, lodge with the Minister —
(a)in a case where the dealing relates to only one title that may come into existence in the future, a provisional application in writing for approval by the Minister of the dealing; or
(b)in any other case, a separate provisional application in writing for approval by the Minister of the dealing in relation to each title that may come into existence in the future and to which the dealing relates.
(2)Section 81(4), (7) and (8) applies to a provisional application lodged under subsection (1) as if that provisional application were an application lodged under section 81(3).
(3)Where —
(a)the title to which a dealing referred to in subsection (1) relates comes into existence; and
(b)upon that title coming into existence, the dealing becomes a dealing to which section 81 applies,
the provisional application lodged under subsection (1) in relation to the dealing shall be treated as if it were an application lodged under section 81(3) on the day on which that title came into existence.
(4)A reference in subsection (1) to the prescribed period, in relation to a title, is a reference to the period —
(a)commencing —
(i)in the case of a permit, lease, licence or pipeline licence, on the day of service of an instrument informing the applicant for the permit, lease, licence or pipeline licence that the Minister is prepared to grant the permit, lease, licence or pipeline licence; or
(ii)in the case of an access authority, on the day on which the application for the grant of the access authority is made;
and
(b)ending on the day on which the title comes into existence.
[Section 81A inserted by No. 12 of 1990 s.203 9.]
82.True consideration to be shown
(1)A person who is a party to a transfer referred to in section 78, a dealing to which section 81 applies or a dealing referred to in section 81A(1) shall not lodge with the Minister —
(a)an instrument of transfer;
(b)an instrument evidencing the dealing; or
(c)an instrument of the kind referred to in section 81(4)(b),
that contains a statement relating to the consideration for the transfer or dealing, or to any other fact or circumstance affecting the amount of the fee payable in respect of the transfer or dealing under the Registration Fees Act, being a statement that is, to the knowledge of the person, false or misleading in a material particular.
Penalty: $10 000.
(2)Where a person is convicted of an offence against subsection (1), the Minister may make a fresh determination of the amount of the fee payable under the Registration Fees Act in respect of the memorandum relating to the transfer or dealing.
(3)Section 92 applies in relation to a determination under subsection (2) as it applies in relation to a determination under section 91.
[Section 82 amended by No. 12 of 1990 s.204.]
83.Minister not concerned with certain matters
Neither the Minister nor a person acting under his direction or authority is concerned with the effect in law of any instrument lodged with him in pursuance of this Division nor does the approval of a transfer or dealing give to the transfer or dealing any force, effect or validity that the transfer or dealing would not have had if this Division had not been enacted.
[Section 83 amended by No. 12 of 1990 s.205.]
84.Power of Minister to require information as to proposed dealings
(1)The Minister may require the person lodging an application for approval of a transfer or dealing or a provisional application for approval of a dealing under this Division to furnish to him in writing such information concerning the transfer or dealing as the Minister considers necessary or advisable.
(1a)The Minister may require a person who is a party to a dealing approved by the Minister under section 81 to furnish to the Minister a statement in writing setting out such information concerning alterations in the interests or rights existing in relation to the title to which the approved dealing relates as the Minister considers necessary or advisable.
(1b)The Minister may require a person making an application under section 79(1) or (3) or 87A(2) to furnish to the Minister in writing such information concerning the matter to which the application relates as the Minister considers necessary or advisable.
(1c)A person shall not fail or refuse to comply with a requirement given to the person under subsection (1), (1a) or (lb).
Penalty: $5 000.
(2)A person who is so required to furnish information shall not knowingly furnish information that is false or misleading in a material particular.
Penalty: $5 000.
[Section 84 amended by No. 12 of 1990 s.206; No. 28 of 1994 s.103.]
85.Production and inspection of documents
(1)The Minister may require any person to produce to him or to make available for inspection by him any documents in the possession or under the control of that person and relating to a transfer or dealing in relation to which approval is sought under this Division.
(1a)The Minister may require any person to produce to the Minister or to make available for inspection by the Minister any documents in the possession or under the control of that person and relating to an application made to the Minister under section 79(1) or (3) or 87A(2).
(2)A person shall not fail or refuse to comply with a requirement given to him under subsection (1) or (1a).
Penalty: $5 000.
[Section 85 amended by No. 12 of 1990 s.207.]
86.Inspection of register and documents
(1)The register and all instruments or copies of instruments subject to inspection under this Division shall at all convenient times be open for inspection by any person upon payment of the prescribed fee.
[(2)repealed]
[Section 86 amended by No. 12 of 1990 s.208.]
(1)The register shall be received by all courts as evidence of all matters required or authorized by this Division to be entered in the register.
(2)The Minister may, on payment of the prescribed fee, supply copies of or extracts from the register or of or from any instrument lodged with him under this Division certified by writing under his hand, and such a copy or extract so certified is admissible in evidence in all courts and proceedings without further proof or production of the original.
(3)The Minister may, on payment of the prescribed fee, by instrument in writing under his hand certify that an entry, matter or thing required or permitted by or under this Division to be made or done or not to be made or done has or has not, as the case may be, been made or done and such a certificate is evidence in all courts and proceedings of the statements contained in the certificate.
[Section 87 amended by No. 12 of 1990 s.209.]
87A.Minister may make corrections to register
(1)The Minister may alter the register for the purposes of correcting a clerical error or an obvious defect in the register.
(2)Subject to subsection (3), the Minister may, on application being made in writing to the Minister by a person or of the Minister’s own motion, make such entries in the register as the Minister considers appropriate for the purposes of ensuring that the register accurately records the interests and rights existing in relation to a title.
(3)Where the Minister proposes to make an entry in the register in accordance with subsection (2), the Minister shall cause to be published in the Gazette a notice —
(a)setting out the terms of the entry that the Minister proposes to make in the register; and
(b)inviting interested persons to give to the Minister, by such day as is specified in the notice, being a day not earlier than 45 days after the publication of the notice, submissions in writing relating to the making of the entry.
(4)Where submissions are, in accordance with a notice under subsection (3), given to the Minister in relation to the proposed making of an entry in the register, the Minister shall —
(a)take those submissions into account before making an entry in the register; and
(b)after making an entry in the register, cause to be published in the Gazette a notice setting out the terms of the entry.
[Section 87A inserted by No. 12 of 1990 s.210.]
(1)The Supreme Court may on the application of a person aggrieved by —
(a)the omission of an entry from the register;
(b)an entry made in the register without sufficient cause;
(c)an entry wrongly existing in the register; or
(d)an error or defect in an entry in the register,
make such order as it thinks fit directing the rectification of the register.
(2)The Supreme Court may, in proceedings under this section, decide any question that it is necessary or expedient to decide in connection with the rectification of the register.
(3)Notice of an application under this section shall be given to the Minister, who may appear and be heard and shall appear if so directed by the Supreme Court.
(4)An office copy of an order made by the Supreme Court may be served on the Minister and the Minister shall, upon receipt of the order, rectify the register accordingly.
89.Minister not liable to certain actions
Subject to section 88, the Minister, his delegate, or a person acting under the direction or authority of the Minister or his delegate is not liable to an action suit or proceeding for or in respect of an act or matter in good faith done or omitted to be done in exercise or purported exercise of any power or authority conferred by this Division.
A person who wilfully —
(a)makes, causes to be made or concurs in making a false entry in the register; or
(b)produces or tenders in evidence a document falsely purporting to be a copy of or extract from an entry in the register or of or from an instrument lodged with the Minister under this Division,
is guilty of an offence.
Penalty: $5 000.
91.Assessment of registration fee
The Minister may determine the amount of the fee payable under the Registration Fees Act in respect of any memorandum.
92.Appeal against Minister’s determination of fee
(1)A person dissatisfied with a determination of the Minister under section 91 may appeal to the Supreme Court against the determination.
(2)Upon the hearing of the appeal, the Supreme Court may affirm, reverse or modify the determination of the Minister.
Duty under the Stamp Act 1921 shall not be chargeable —
(a)on a permit, lease, licence, pipeline licence or access authority;
(b)on a transfer of a permit, lease, licence, pipeline licence or access authority to which section 78 applies; or
(c)on any other instrument in so far as it relates to a legal or equitable interest in or affecting a permit, lease, licence, pipeline licence or access authority.
[Section 93 amended by No.12 of 1990 s.211.]
Division 6 — General
94.Notice of grants of permits, etc., to be published
The Minister shall cause notice of, and such particulars as he thinks fit of —
(a)the grant, and the grant of the renewal, of a permit, lease, licence or pipeline licence;
(b)the variation of a licence or pipeline licence;
(c)the surrender or cancellation of a permit, lease or licence as to all or some of the blocks in the permit area, lease area or licence area;
(d)the determination of a permit or lease as to a block or blocks;
(e)an application for a pipeline licence or for the renewal or variation of a pipeline licence;
(f)the surrender or cancellation of a pipeline licence as to the whole or a part of the pipeline; and
(g)the expiry of a permit, lease, licence or pipeline licence,
under this Part to be published in the Gazette.
[Section 94 amended by No. 12 of 1990 s.212.]
95.Date of effect of permits, etc.
[(1)repealed]
(2)The surrender or cancellation of a permit, lease or licence as to all or some of the blocks in the permit area, lease area or licence area has effect on and from the day on which notice of the surrender or cancellation is published in the Gazette.
(3)The surrender or cancellation of a pipeline licence as to the whole or a part of the pipeline has effect on and from the day on which notice of the surrender or cancellation is published in the Gazette.
(4)A variation of a licence or pipeline licence has effect on and from the day on which notice of the variation is published in the Gazette.
[Section 95 amended by No. 12 of 1990 s.213.]
(1)Where a permit, lease, licence or pipeline licence is granted subject to a condition that works or operations specified in the permit, lease, licence or pipeline licence are to be carried out, the permittee, lessee, licensee or pipeline licensee, as the case may be, shall commence to carry out those works or operations within a period of 6 months after the day on which the permit, lease, licence or pipeline licence, as the case may be, comes into force.
(2)The Minister may, for reasons that he thinks sufficient, by instrument in writing served on a permittee, lessee, licensee or pipeline licensee —
(a)exempt him from compliance with the requirements of subsection (1); and
(b)direct him to commence to carry out the works or operations specified in the permit, lease, licence or pipeline licence, as the case may be, within such period after the day on which the permit, lease, licence or pipeline licence, as the case may be, comes into force as is specified in the instrument.
(3)A person to whom a direction is given under subsection (2) shall comply with the direction.
Penalty: $10 000.
[Section 96 amended by No. 12 of 1990 s.214.]
(1)A permittee, lessee or licensee shall carry out all petroleum exploration operations and operations for the recovery of petroleum in the permit area, lease area or licence area in a proper and workmanlike manner and in accordance with good oil‑field practice and shall secure the safety, health and welfare of persons engaged in those operations in or about the permit area, lease area or licence area.
(2)In particular, and without limiting the generality of subsection (1), but subject to any authorization or requirement given or made by or under this Act or regulations or directions under this Act, a permittee, lessee or licensee shall —
(a)control the flow and prevent the waste or escape in the permit area, lease area or licence area of petroleum or water;
(b)prevent the escape in the permit area, lease area or licence area of any mixture of water or drilling fluid with petroleum or any other matter;
(c)prevent damage to petroleum‑bearing strata in an area, whether in the adjacent area or not, in respect of which the permit, lease or licence is not in force;
(d)keep separate —
(i)each petroleum pool discovered in the permit area, lease area or licence area; and
(ii)such of the sources of water, if any, discovered in that area as the Minister, by instrument in writing served on that person, directs;
and
(e)prevent water or any other matter entering any petroleum pool through wells in the permit area, lease area or licence area except when required by, and in accordance with, good oil‑field practice.
(3)A pipeline licensee shall operate the pipeline in a proper and workmanlike manner and shall secure the safety, health and welfare of persons engaged in operations in connection with the pipeline.
(4)In particular and without limiting the generality of subsection (3), a pipeline licensee shall prevent the waste or escape of petroleum or water from the pipeline or from any secondary line, pumping station, tank station, valve station or water line.
(5)A person who is the holder of a special prospecting authority or an access authority shall carry out all petroleum exploration operations in the area in respect of which the special prospecting authority or access authority is in force in a proper and workmanlike manner and in accordance with good oil‑field practice and shall secure the safety, health and welfare of persons engaged in those operations in or about that area.
[(6)repealed]
(7)It is a defence if a person charged with failing to comply with a provision of this section, or a defendant in an action arising out of a failure by the defendant to comply with a provision of this section, proves that he took all reasonable steps to comply with that provision.
Penalty: For contravention of subsections (1) to (5), $10 000.
[Section 97 amended by No. 12 of 1990 s.215; No. 28 of 1994 s.104.]
97A.Conditions relating to insurance
(1)The registered holder of a permit, lease, licence, or pipeline licence must maintain, as directed by the Minister from time to time, insurance against expenses or liabilities or specified things arising in connection with, or as a result of, the carrying out of work, or the doing of any other thing, under the permit, lease, licence, or pipeline licence, including expenses of complying with directions with respect to the clean‑up or other remedying of the effects of the escape of petroleum.
(2)The conditions subject to which a special prospecting authority or access authority is granted may include a condition that the registered holder maintain, as directed by the Minister from time to time, insurance against expenses or liabilities or specified things arising in connection with, or as a result of, the carrying out of work, or the doing of any other thing, under the authority, including expenses of complying with directions with respect to the clean‑up or other remedying of the effects of the escape of petroleum.
(3)When —
(a)a permit, lease, licence, or pipeline licence was in force immediately before the commencement of section 105 of the Acts Amendment (Petroleum) Act 1994 1;
(b)the Minister has required the registered holder to maintain insurance under subsection (1); and
(c)the Minister is satisfied that the required insurance is in effect,
the Minister shall issue a certificate to the effect that he is so satisfied.
(4)Where the Minister issues a certificate under subsection (3), any security in force in relation to the permit, lease, licence, or pipeline licence, being a security that was required under this Act or under the Acts Amendment (Petroleum) Act 1990 1 before the commencement of section 105 of the Acts Amendment (Petroleum) Act 1994 1, is discharged.
(5)The discharge of a security under subsection (4) has no effect on any liability arising under or in relation to the security before its discharge.
[Section 97A inserted by No. 28 of 1994 s.105.]
98.Maintenance etc., of property
(1)In this section —
“operator” means a permittee, lessee, licensee, pipeline licensee or holder of a special prospecting authority or access authority;
“the operations area”—
(a)in relation to an operator who is a permittee, lessee or licensee, means the permit area, lease area or licence area as the case may be;
(b)in relation to an operator who is a pipeline licensee, means the part of the adjacent area in which the pipeline is constructed; and
(c)in relation to an operator who is the holder of a special prospecting authority or access authority, means the area in respect of which that authority is in force.
(2)An operator shall maintain in good condition and repair all structures, equipment and other property in the operations area and used in connection with the operations in which he is engaged.
(3)An operator shall remove from the operations area all structures, equipment and other property that are not either used or to be used in connection with the operations in which he is engaged.
(4)Subsections (2) and (3) do not apply in relation to any structure, equipment or other property that was not brought into the operations area by or with the authority of the operator.
Penalty: For contravention of subsection (2) or (3), $10 000.
[Section 98 amended by No. 12 of 1990 s.216; No. 28 of 1994 s.106.]
99.Sections 97, 97A and 98 to have effect subject to this Act, etc.
Sections 97, 97A and 98 have effect subject to —
(a)any other provisions of this Act;
(b)the regulations;
(c)a direction under section 101; and
(d)any other law.
[Section 99 amended by No. 28 of 1994 s.107.]
(1)A permittee, lessee or licensee shall not make a well any part of which is less than 300 metres from a boundary of the permit area, lease area or licence area, as the case may be, except with the consent in writing of the Minister and in accordance with such conditions, if any, as are specified in the instrument of consent.
(2)Where a permittee, lessee or licensee does not comply with subsection (1), the Minister may, by instrument in writing served on the permittee, lessee or licensee, as the case may be, direct him to do one or more of the following, within the period specified in the instrument —
(a)to plug the well;
(b)to close off the well; and
(c)to comply with such directions relating to the making or maintenance of the well as are specified in the instrument.
(3)A person to whom a direction is given under subsection (2) shall comply with the direction.
Penalty: $10 000.
[Section 100 amended by No. 12 of 1990 s.217.]
(1)The Minister may, by instrument in writing served on the registered holder of a permit, lease, licence, pipeline licence, special prospecting authority or access authority, give to the registered holder a direction as to any matter with respect to which regulations may be made.
(2)A direction given under this section to a registered holder applies to the registered holder and may also be expressed to apply to —
(a)a specified class of persons, being a class constituted by or included in one or both of the following classes of persons —
(i)servants or agents of, or persons acting on behalf of, the registered holder;
(ii)persons performing work or services, whether directly or indirectly, for the registered holder;
or
(b)any person (not being a person to whom the direction applies otherwise than in accordance with this paragraph) who is in the adjacent area for any reason touching, concerning, arising out of or connected with the exploration of the sea‑bed or subsoil of the adjacent area for petroleum or the exploitation of the natural resources, being petroleum, of that sea‑bed or subsoil or is in, on, above, below or in the vicinity of a vessel, aircraft, structure or installation, or equipment or other property, that is in the adjacent area for a reason of that kind,
and where a direction so expressed is given, the direction shall be deemed to apply to each person included in that specified class or to each person who is in the adjacent area as mentioned in paragraph (b), as the case may be.
(2a)Where a direction under this section applies to a registered holder and to a person referred to in subsection (2)(a), the registered holder shall cause a copy of the instrument by which the direction was given to be given to that other person or to be exhibited at a prominent position at a place in the adjacent area frequented by that other person.
Penalty: $5 000.
(2b)Where a direction under this section applies to a registered holder and to a person referred to in subsection (2)(b), the registered holder shall cause a copy of the instrument by which the direction was given to be exhibited at a prominent position at a place in the adjacent area.
Penalty: $5 000.
(2c)Where a direction under this section applies to a registered holder and to a person referred to in subsection (2)(b), the Minister may, by notice in writing given to the registered holder, require the registered holder to cause to be displayed at such places in the adjacent area, and in such manner, as are specified in the notice, copies of the instrument by which the direction was given, and the registered holder shall comply with that requirement.
Penalty: $5 000.
(3)The Minister shall not give a direction under subsection (1) of a standing or permanent nature except after consultation with the Minister of State for the time being administering the Commonwealth Act, but the validity of a direction of the Minister shall not be called in question by reason only of a failure to comply with this subsection.
(4)A direction under this section has effect and shall be complied with notwithstanding any previous direction under this section.
(5)A direction under this section has effect and shall be complied with notwithstanding anything in the regulations or the Off‑shore (Application of Laws) Act 1977 10.
(6)Section 152(2a) and (2b) applies in relation to directions made under this section in like manner as that section applies to the regulations.
(7)A person who fails to comply with a direction in force under subsection (1) that applies to the person is guilty of an offence punishable, upon conviction, by a fine not exceeding $10 000.
(8)Where —
(a)a direction given under this section applies to a registered holder and another person and that other person is prosecuted for an offence against subsection (7) in relation to the direction; and
(b)the person adduces evidence that the person did not know, and could not reasonably be expected to have known, of the existence of the direction,
the person shall not be convicted of the offence unless the prosecutor proves that the person knew, or could reasonably be expected to have known, of the existence of the direction.
[Section 101 amended by No. 12 of 1990 s.218 11.]
102.Compliance with directions
(1)Where a person does not comply with a direction given or applicable to the person under this Part or the regulations the Minister may do all or any of the things required by the direction to be done.
(2)Costs and expenses incurred by the Minister under subsection (1) in relation to a direction are a debt due by the person to whom the direction was given or was applicable to the State and are recoverable in a court of competent jurisdiction.
(2a)Where —
(a)a direction given under section 101 applies to a permittee, lessee, licensee, pipeline licensee or the holder of a special prospecting authority or access authority and another person and an action under subsection (2) relating to the direction is brought against that other person; and
(b)the person adduces evidence that the person did not know, and could not reasonably be expected to have known, of the existence of the direction,
the person is not liable under subsection (2) unless the plaintiff proves that the person knew, or could reasonably be expected to have known, of the existence of the direction.
(3)It is a defence if a person charged with failing to comply with a direction given or applicable to the person under this Part or under the regulations, or a defendant in an action under subsection (2), proves that he took all reasonable steps to comply with the direction.
[Section 102 amended by No. 12 of 1990 s.219.]
(1)Where —
(a)a permit, lease, licence or pipeline licence is, under this Part, to be deemed to continue in force until the Minister grants, or refuses to grant, the renewal of the permit, lease, licence or pipeline licence;
(b)a licence is varied under section 45;
(c)a licensee enters into an agreement under section 59 or a direction is given to a licensee under that section;
(d)a permit, lease or licence is partly cancelled, partly determined or surrendered as to one or more but not all of the blocks in respect of which it is in force;
(e)a pipeline licence is varied under section 71 or 72;
(f)a direction is given to a pipeline licensee under section 73;
(g)a pipeline licence is partly cancelled;
(h)an access authority is granted in respect of a block the subject of a permit, lease or licence, or an access authority as in force in respect of such a block is varied;
(i)a permittee, lessee, licensee, pipeline licensee or the holder of a special prospecting authority or access authority applies, by instrument in writing served on the Minister —
(i)for a variation or suspension of; or
(ii)for exemption from compliance with,
any of the conditions to which the permit, lease, licence, pipeline licence, special prospecting authority or access authority is subject; or
(j)the Minister under this Part or the regulations gives a direction or consent to a permittee, lessee, licensee, pipeline licensee or the holder of a special prospecting authority or access authority,
the Minister may, at any time, by instrument in writing served on the permittee, lessee, licensee, pipeline licensee or the holder of the special prospecting authority or access authority —
(k)vary or suspend; or
(l)exempt the permittee, lessee, licensee, pipeline licensee or the holder of the special prospecting authority or access authority from compliance with,
any of the conditions to which the permit, lease, licence, pipeline licence, special prospecting authority or access authority is subject, upon such conditions, if any, as the Minister determines and specifies in the instrument.
(2)Subsection (1) does not authorize the making of an instrument to the extent that it would affect the term of a permit, lease, licence or pipeline licence.
(3)Notwithstanding subsection (2), where in pursuance of subsection (1) the Minister suspends, or exempts the permittee or lessee from compliance with, any of the conditions to which a permit or lease is subject, the Minister may, if he considers that circumstances make it reasonable to do so, in the instrument of suspension or exemption or by a later instrument in writing served on the permittee or lessee, extend the term of the permit or lease by a period not exceeding the period of suspension or exemption.
[Section 103 amended by No. 12 of 1990 s.220.]
104.Surrender of permits, etc.
(1)The registered holder of an instrument, being a permit, lease, licence or pipeline licence, may, at any time, by application in writing served on the Minister, apply for consent to surrender the instrument —
(a)in the case of a permit or licence, as to all or some of the blocks in respect of which it is in force;
(aa)in the case of a lease, as to all of the blocks in respect of which it is in force; or
(b)in the case of a pipeline licence, as to the whole or a part of the pipeline in respect of which it is in force.
(2)Subject to subsection (3), the Minister shall not give his consent to a surrender of an instrument under subsection (1) unless the registered holder —
(a)has paid all fees and amounts payable by him under this Act or the Registration Fees Act, or has made arrangements that are satisfactory to the Minister for the payment of those fees and amounts;
(b)has complied with the conditions to which the instrument is subject and with the provisions of this Part and of the regulations;
(c)has, to the satisfaction of the Minister, removed or caused to be removed from the area to which the surrender relates all property brought into that area by any person engaged or concerned in the operations authorized by the instrument, or has made arrangements that are satisfactory to the Minister with respect to that property;
(d)has, to the satisfaction of the Minister, plugged or closed off all wells made in that area by any person engaged or concerned in the operations authorized by the instrument;
(e)subject to this Part and to the regulations, has made provision, to the satisfaction of the Minister, for the conservation and protection of the natural resources in that area; and
(f)has, to the satisfaction of the Minister, made good any damage to the sea‑bed or subsoil in that area caused by any person engaged or concerned in the operations authorized by the instrument,
but if the registered holder has complied with those requirements the Minister shall not unreasonably refuse to consent to the surrender.
(3)Where the registered holder of an instrument, being a permit, lease, licence or pipeline licence, has not complied with the conditions to which the instrument is subject and with the provisions of this Part and of the regulations, the Minister may give his consent to a surrender of the instrument under subsection (1) if he is satisfied that, although the registered holder has not so complied, special circumstances exist that justify the giving of consent to the surrender.
(4)Where the Minister consents to an application under subsection (1), the applicant may, by instrument in writing served on the Minister, surrender the instrument accordingly.
(5)In this section, “the area to which the surrender relates” means —
(a)in relation to a surrender of a permit, lease or licence, the area constituted by the blocks as to which the permit, lease or licence is proposed to be surrendered; and
(b)in relation to a surrender of a pipeline licence, the part of the adjacent area in which the pipeline, or the part of the pipeline, as to which the pipeline licence is proposed to be surrendered, is constructed.
[Section 104 amended by No. 12 of 1990 s.221.]
105.Cancellation of permits, etc.
(1)Where a permittee, lessee, licensee or pipeline licensee —
(a)has not complied with a condition to which the permit, lease, licence or pipeline licence is subject;
(b)has not complied with a direction given to him under this Part by the Minister;
(c)has not complied with a provision of this Part or of the regulations; or
(d)has not paid any amount payable by him under this Act or the Registration Fees Act, within a period of 3 months after the day on which the amount became payable,
the Minister may, on that ground, by instrument in writing served on the permittee, lessee, licensee or pipeline licensee, as the case may be —
(e)in the case of a permit or licence, cancel the permit or licence as to all or some of the blocks in respect of which it is in force;
(ea)in the case of a lease, cancel the lease as to all of the blocks in respect of which it is in force; or
(f)in the case of a pipeline licence, cancel the pipeline licence as to the whole or a part of the pipeline in respect of which it is in force.
(2)The Minister shall not, under subsection (1), cancel a permit, licence or pipeline licence as to all or some of the blocks, or as to the whole or a part of the pipeline in respect of which it is in force, or cancel a lease as to all of the block in respect of which it is in force, on a ground referred to in that subsection unless —
(a)he has, by instrument in writing served on the permittee, lessee, licensee or pipeline licensee, as the case may be, given not less than one month’s notice of his intention so to cancel the permit, lease, licence or pipeline licence on that ground;
(b)he has served a copy of the instrument on such other persons, if any, as he thinks fit;
(c)he has, in the instrument, specified a date on or before which the permittee, lessee, licensee or pipeline licensee or a person on whom a copy of the instrument is served may, by instrument in writing served on the Minister, submit any matters that he wishes the Minister to consider; and
(d)he has taken into account —
(i)any action taken by the permittee, lessee, licensee or pipeline licensee, as the case may be, to remove that ground or to prevent the recurrence of similar grounds; and
(ii)any matters so submitted to him on or before the specified date by the permittee, lessee, licensee or pipeline licensee or by a person on whom a copy of the first‑mentioned instrument has been served.
[Section 105 amended by No. 12 of 1990 s.222.]
106.Cancellation of permit, etc., not affected by other provisions
(1)A permit, licence or pipeline licence may be wholly cancelled or partly cancelled, and a lease may be wholly cancelled, on the ground that the registered holder of the permit, lease, licence or pipeline licence has not complied with a provision of this Part or of the regulations notwithstanding that he has been convicted of an offence by reason of his failure to comply with the provision.
(2)A person who was the registered holder of a permit, lease, licence or pipeline licence that has been wholly cancelled, or is the registered holder of a permit, licence or pipeline licence that has been partly cancelled, on the ground that he has not complied with a provision of this Part or of the regulations may be convicted of an offence by reason of his failure to comply with the provision, notwithstanding that the permit, lease, licence or pipeline licence has been so cancelled.
(3)A permit, licence or pipeline licence may be wholly cancelled or partly cancelled, and a lease may be wholly cancelled, on the ground that the registered holder of the permit, lease, licence or pipeline licence has not paid an amount payable by him under this Act or the Registration Fees Act within a period of 3 months after the day on which the amount became payable, notwithstanding that judgment for the amount has been obtained or that the amount, or any part of the amount, has been paid or recovered.
(4)A person who was the registered holder of a permit, lease, licence or pipeline licence that has been wholly cancelled, or is the registered holder of a permit, licence or pipeline licence that has been partly cancelled, on the ground that he has not paid an amount payable by him under this Act or the Registration Fees Act within a period of 3 months after the day on which the amount became payable continues to be liable to pay that amount, together with any additional amount payable by reason of late payment of that amount, notwithstanding that the permit, lease, licence or pipeline licence has been so cancelled.
[Section 106 amended by No. 12 of 1990 s.223.]
107.Removal of property, etc., by permittee, etc.
(1)Where a permit, licence or pipeline licence has been wholly determined, partly determined, wholly cancelled or partly cancelled, or has expired, or a lease has been wholly determined, partly determined or wholly cancelled or has expired, the Minister may, by instrument in writing served on the person who was, or is, as the case may be, the permittee, lessee, licensee or pipeline licensee, direct that person to do any one or more of the following things —
(a)to remove or cause to be removed from the relinquished area all property brought into that area by any person engaged or concerned in the operations authorized by the permit, lease, licence or pipeline licence or to make arrangements that are satisfactory to the Minister with respect to that property;
(b)to plug or close off, to the satisfaction of the Minister, all wells made in that area by any person engaged or concerned in those operations;
(c)subject to this Part and to the regulations, to make provision, to the satisfaction of the Minister, for the conservation and protection of the natural resources in that area; and
(d)to make good, to the satisfaction of the Minister, any damage to the sea‑bed or subsoil in that area caused by any person engaged or concerned in those operations.
(2)The Minister may, by instrument in writing served on a permittee, lessee, licensee or pipeline licensee, direct him to do any one or more of the following things —
(a)to remove or cause to be removed from the permit area, lease area, licence area or part of the adjacent area in which the pipeline is constructed, as the case may be, all property brought into that area or part by any person engaged or concerned in the operations authorized by the permit, lease, licence or pipeline licence or to make arrangements that are satisfactory to the Minister with respect to that property;
(b)to plug or close off, to the satisfaction of the Minister, all wells made in that area or part by any person engaged or concerned in those operations;
(c)subject to this Part and to the regulations, to make provision, to the satisfaction of the Minister, for the conservation and protection of the natural resources in that area or part; and
(d)to make good, to the satisfaction of the Minister, any damage to the sea‑bed or subsoil in that area or part caused by any person engaged or concerned in those operations.
(3)A person to whom a direction is given under subsection (1) or (2) shall comply with the direction —
(a)in the case of a direction given under subsection (1), within the period specified in the instrument by which the direction was given; or
(b)in the case of a direction given under subsection (2), on or before the date of expiration of the permit, lease, licence or pipeline licence concerned.
Penalty: $10 000.
[Section 107 amended by No. 12 of 1990 s.224.]
108.Removal of property, etc., by Minister
Where a permit, licence or pipeline licence has been wholly determined, partly determined, wholly cancelled or partly cancelled, or has expired, or a lease has been wholly determined, partly determined or wholly cancelled or has expired, and a direction under section 107 has not been complied with, or an arrangement under that section has not been carried out, in relation to the relinquished area —
(a)the Minister may do all or any of the things required by the direction or arrangement to be done; and
(b)if any property brought into that area by any person engaged or concerned in the operations authorized by the permit, lease, licence or pipeline licence has not been removed in accordance with the direction or arrangement, the Minister may, by instrument published in the Gazette, direct that the owner or owners of that property shall remove it from that area, or dispose of it to the satisfaction of the Minister, within the period specified in the instrument and shall serve a copy of the instrument on each person whom he believes to be an owner of that property or any part of that property.
[Section 108 amended by No. 12 of 1990 s.225.]
(1)The Minister and a person who may request, or has requested, that a permit under section 27 or a licence under section 50 be granted to him may enter into an agreement in writing for or in relation to the payment, by instalments, of the amount to be paid in respect of the grant of the permit or licence, together with interest at the rate that is the specified rate from time to time on so much of that amount as from time to time remains unpaid.
(2)For the purposes of subsection (1), the specified rate is 10% per annum or, if a lower rate is prescribed by regulations, that lower rate.
(3)The period specified in an agreement under this section as the period within which an amount payable by instalments is to be paid shall not be greater than 21 years.
(4)Where a person enters into an agreement under this section for or in relation to the payment of an amount in respect of the grant of a permit or licence, any instalment or interest that is due under the agreement and has not been paid is payable by the registered holder of the permit or licence, as the case may be.
110.Penalty for late payments of instalments, etc.
(1)Where the liability of a person under section 109 to pay an amount, being an instalment or any interest, is not discharged at or before the time when the amount is payable, there is payable by that person an additional amount calculated at the rate of one‑third of 1% per day upon so much of the first‑mentioned amount as from time to time remains unpaid, to be computed from the time when the first‑mentioned amount became payable until it is paid.
(2)The Minister may, in a particular case, for reasons that he thinks sufficient, remit the whole or part of an amount payable under this section.
111.Special prospecting authorities
(1)A person may make an application to the Minister for the grant of a special prospecting authority in respect of a block or blocks in respect of which a permit, lease or licence is not in force.
(2)An application under this section —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall specify the operations that the applicant proposes to carry on and the block or blocks in respect of which the applicant proposes to carry on those operations; and
(d)shall be accompanied by the prescribed fee.
(3)The Minister —
(a)may grant to the applicant a special prospecting authority subject to such conditions as the Minister thinks fit and specifies in the authority; or
(b)may refuse to grant the application.
(4)A special prospecting authority, while it remains in force, authorizes the holder, subject to this Act and the regulations and in accordance with the conditions to which the special prospecting authority is subject, to carry on in the blocks specified in the special prospecting authority the petroleum exploration operations so specified.
(5)Nothing in a special prospecting authority authorizes the holder to make a well.
(6)A special prospecting authority comes into force on the day specified for the purpose in the authority and, unless surrendered or cancelled, remains in force for such period, not exceeding 6 months, as is so specified.
(6a)A special prospecting authority is not capable of being transferred.
(6b)Where —
(a)a person holds a special prospecting authority in respect of a block; and
(b)another special prospecting authority is granted to another person in respect of the block,
the Minister shall, by notice in writing served on each of those persons, inform each of them of —
(c)the petroleum exploration operations authorized by the special prospecting authority granted to the other person; and
(d)the conditions to which the special prospecting authority granted to the other person is subject.
(7)A special prospecting authority —
(a)may be surrendered by the holder at any time by instrument in writing served on the Minister; and
(b)may, if the holder has not complied with a condition to which the authority is subject, be cancelled by the Minister by instrument in writing served on the holder.
(8)Where a special prospecting authority has been surrendered or cancelled, or has expired, the Minister may, by instrument in writing served on the person who was the holder of the special prospecting authority, direct that person to do any one or more of the following things —
(a)to remove or cause to be removed from the relinquished area all property brought into that area by any person engaged or concerned in the operations authorized by the special prospecting authority or to make arrangements that are satisfactory to the Minister with respect to that property;
(b)subject to this Part and to the regulations, to make provision, to the satisfaction of the Minister, for the conservation and protection of the natural resources in that area; and
(c)to make good, to the satisfaction of the Minister, any damage to the sea‑bed or subsoil in that area caused by any person engaged or concerned in those operations.
(9)A person to whom a direction is given under subsection (8) shall comply with the direction.
Penalty: $10 000.
(10)Section 108 applies to and in relation to a special prospecting authority as if —
(a)a reference in that section to a permit were a reference to a special prospecting authority; and
(b)a reference in that section to a direction or an arrangement under section 107 were a reference to a direction or an arrangement under subsection (8).
[Section 111 amended by No. 12 of 1990 s.226.]
(1)A permittee, lessee, licensee or holder of a special prospecting authority may make an application to the Minister for the grant of an access authority to enable him to carry on in an area, being part of the adjacent area that is not part of the permit area, lease area or licence area or area of the blocks specified in the special prospecting authority, petroleum exploration operations or operations related to the recovery of petroleum in or from the permit area, lease area or licence area or area of the blocks so specified.
(1a)A holder of a petroleum title outside the adjacent area may make an application to the Minister for the grant of an access authority to enable the holder to carry on, in a part of the adjacent area, petroleum exploration operations or operations related to the recovery of petroleum in or from the area to which that petroleum title relates.
(2)An application under this section —
(a)shall be in accordance with an approved form;
(b)shall be made in an approved manner;
(c)shall specify the operations that the applicant proposes to carry on and the area in which the applicant proposes to carry on those operations; and
(d)may set out any other matters that the applicant wishes the Minister to consider.
(3)The Minister may —
(a)if he is satisfied that it is necessary or desirable to do so for the more effective exercise of the rights, or for the proper performance of the duties, of a permittee, lessee, licensee or holder of a special prospecting authority or a petroleum title who has made an application under this section, grant to him an access authority subject to such conditions as the Minister thinks fit and specifies in the access authority; and
(b)at any time, by instrument in writing served on the registered holder of an access authority so granted, vary the access authority.
(4)The Minister shall not grant an access authority on an application under this section in respect of a block that is the subject of a permit, lease or licence of which the registered holder is a person other than the applicant, or vary an access authority as in force in respect of a block that is the subject of a permit, lease or licence of which the registered holder is a person other than the registered holder of the access authority, unless —
(a)he has, by instrument in writing served on that person, given not less than one month’s notice of his intention to grant or vary, as the case may be, the access authority;
(b)he has served a copy of the instrument —
(i)on such other persons, if any, as he thinks fit; and
(ii)in a case where he intends to vary an access authority, on the registered holder of the access authority;
(c)he has, in the instrument —
(i)given particulars of the access authority proposed to be granted, or of the variation proposed to be made, as the case may be; and
(ii)specified a date on or before which a person on whom the instrument, or a copy of the instrument, is served may, by instrument in writing served on the Minister submit any matters that he wishes the Minister to consider;
and
(d)he has taken into account any matters so submitted to him on or before the specified date by a person on whom the first‑mentioned instrument, or a copy of that instrument, has been served.
(5)An access authority, while it remains in force, authorizes the holder, subject to this Act and the regulations and in accordance with the conditions to which the access authority is subject, to carry on, in the area specified in the access authority, the operations so specified.
(6)Nothing in an access authority authorizes the holder to make a well other than a deviation well into an adjacent permit area, lease area or licence area held by him under this Act or the Petroleum Act 1967.
(7)An access authority comes into force on the day specified for the purpose in the access authority and, unless surrendered or cancelled, remains in force for such period as is so specified but may be extended by the Minister for a further period.
(8)An access authority —
(a)may be surrendered by the holder at any time by instrument in writing served on the Minister; and
(b)may be cancelled by the Minister at any time by instrument in writing served on the holder and on any person in whose permit area, lease area or licence area operations may be carried on in pursuance of the access authority.
(9)Where an access authority has been surrendered or cancelled or has expired, the Minister may, by instrument in writing served on the person who was the holder of the access authority, direct that person to do any one or more of the following things —
(a)to remove or cause to be removed from the relinquished area all property brought into that area by any person engaged or concerned in the operations authorized by the access authority or to make arrangements that are satisfactory to the Minister with respect to that property;
(b)subject to this Part and to the regulations, to make provision, to the satisfaction of the Minister, for the conservation and protection of the natural resources in that area; and
(c)to make good, to the satisfaction of the Minister, any damage to the sea‑bed or subsoil in that area caused by any person engaged or concerned in those operations.
(10)A person to whom a direction is given under subsection (9) shall comply with the direction.
Penalty: $10 000.
(11)The holder of an access authority shall, if the access authority is in force in respect of an area that consists of, or includes, a block that is the subject of a permit, lease or licence of which he is not the registered holder, furnish to the registered holder of that permit, lease or licence, within 28 days after the end of each month during which the access authority is in force in respect of that block, a full report, in writing, of the operations (not being operations related to the recovery of petroleum by means of a deviation well referred to in subsection (6)) carried on in that block during that month and a summary of the facts ascertained from those operations.
Penalty: $5 000.
(12)Section 108 applies to and in relation to an access authority as if —
(a)a reference in that section to a permit were a reference to an access authority; and
(b)a reference in that section to a direction or an arrangement under section 107 were a reference to a direction or an arrangement under subsection (9).
(13)In this section, “petroleum title” means an authority, however described, under the Petroleum Act 1967 or a law of the Commonwealth, of another State or of the Northern Territory, to explore for, or to recover, petroleum.
[Section 112 amended by No. 12 of 1990 s.227; No. 28 of 1994 s.108.]
(1)Where a direction under section 108 has not been complied with in relation to any property, the Minister may do all or any of the following things —
(a)remove, in such manner as he thinks fit, all or any of that property from the relinquished area concerned;
(b)dispose of, in such manner as he thinks fit, all or any of that property; and
(c)if he has served a copy of the instrument by which the direction was given on a person whom he believed to be an owner of that property or part of that property, sell, by public auction or otherwise, as he thinks fit, all or any of that property that belongs, or that he believes to belong, to that person.
(2)The Minister may deduct from the proceeds of a sale under subsection (1) of property that belongs, or that he believes to belong, to a particular person —
(a)all or any part of any costs and expenses incurred by him under that subsection in relation to that property;
(b)all or any part of any costs and expenses incurred by him in relation to the doing of any thing required by a direction under section 107, 111 or 112, as the case may be, to be done by that person; and
(c)all or any part of any fees or amounts due and payable under this Act or the Registration Fees Act by that person.
(3)Costs and expenses incurred by the Minister under subsection (1) —
(a)if incurred in relation to the removal, disposal or sale of property, are a debt due by the owner of the property to the State; or
(b)if incurred in relation to the doing of any thing required by a direction under section 107, 111 or 112, as the case may be, to be done by a person who is or was a permittee, lessee, licensee, pipeline licensee or holder of a special prospecting authority or access authority, are a debt due by that person to the State,
and, to the extent to which they are not recovered under subsection (2), are recoverable in a court of competent jurisdiction.
(4)Subject to subsection (3), no action lies in respect of the removal, disposal or sale of property under this section.
[Section 113 amended by No. 12 of 1990 s.228.]
[114.Repealed by No. 28 of 1994 s.109.]
115.Minister, etc., may require information to be furnished, etc.
(1)Where the Minister or an inspector has reason to believe that a person is capable of giving information or producing documents relating to petroleum exploration operations, operations for the recovery of petroleum or operations connected with the construction or operation of a pipeline in the adjacent area, he may, by instrument in writing served on that person, require that person —
(a)to furnish to him in writing, within the period and in the manner specified in the instrument, any such information; or
(b)to attend before him, or a person specified in the instrument, at such time and place as is so specified and there to answer questions relating to those operations and to produce such documents relating to those operations as are so specified.
(2)A person is not excused from furnishing information, answering a question or producing a document when required to do so under this section on the ground that the information so furnished, the answer to the question or the production of the document might tend to incriminate him or make him liable to a penalty, but the information so furnished or his answer to the question is not admissible in evidence against him in proceedings other than proceedings for an offence against section 117.
(1)The Minister or an inspector may administer an oath to a person required to attend before him in pursuance of section 115 and may examine that person on oath.
(2)Where a person attending before the Minister or an inspector in pursuance of section 115 conscientiously objects to take an oath, he may make an affirmation that he conscientiously objects to take an oath and that he will state the truth, the whole truth and nothing but the truth to all questions asked him.
(3)An affirmation made under subsection (2) is of the same force and effect, and entails the same penalties, as an oath.
117.Failing to furnish information, etc.
A person shall not —
(a)refuse or fail to comply with a requirement in an instrument under section 115 to the extent to which he is capable of complying with it;
(b)in purported compliance with such a requirement, furnish information that is to his knowledge false or misleading in a material particular; or
(c)when attending before the Minister or an inspector in pursuance of such a requirement, make a statement or produce a document that is to his knowledge false or misleading in a material particular.
Penalty: $10 000.
(1)The Minister may, at any time, make available to another Minister of the Crown of the State or a Minister of the Crown of another State or to a Minister of State of the Commonwealth —
(a)any information contained in a document to which this section applies that has been furnished to the Minister; and
(b)any cores or cuttings from, or samples of, the sea‑bed or subsoil in a block, or samples of petroleum recovered in a block, that have been furnished to the Minister.
(1a)The Minister may, at any time after the grant or renewal, or refusal to grant or renew, a permit, lease, licence, pipeline licence, access authority or special prospecting authority —
(a)make publicly known; or
(b)on request by a person and, if the Minister so requires, on payment of the prescribed fee, make available to that person,
any information contained in, or accompanying, the application for the grant or renewal, as the case may be, but not including —
(c)information of a kind referred to in subsection (2) or (5a); or
(d)particulars of —
(i)the technical qualifications of the applicant and of the employees of the applicant;
(ii)the technical advice available to the applicant; or
(iii)the financial resources available to the applicant.
(2)The Minister may, at any time after the relevant day —
(a)make publicly known; or
(b)on request by a person and, if the Minister so requires, on payment of the prescribed fee, make available to that person,
any information contained in a document to which this section applies that has been furnished to the Minister, being information that relates to the sea‑bed or subsoil, or to petroleum, in a block, but not including any matter contained in a document to which this section applies that, in the opinion of the Minister, is a conclusion drawn, in whole or in part, from, or an opinion based, in whole or in part, on, any such information.
(3)The Minister or another Minister of the Crown of the State may, at any time after the relevant day —
(a)make publicly known any particulars of; or
(b)on request by a person and, if the Minister or the other Minister so requires, on payment of the prescribed fee, permit that person to inspect,
any cores or cuttings from, or samples of, the sea‑bed or subsoil in a block, or samples of petroleum recovered in a block, that have been furnished to the Minister or have been made available to the other Minister under subsection (1).
(4)For the purposes of subsections (2) and (3) —
(a)where —
(i)a permit or lease is in force in respect of the block; and
(ii)the document, core, cutting or sample was furnished to the Minister during the period during which any of the following were in force in respect of the block —
(A)the permit or lease;
(B)in a case where a lease is in force in respect of the block, the permit that ceased to be in force in respect of the block by virtue of section 38B(7) on the day on which the lease came into force,
the relevant day is the day on which the period of 2 years that commenced on the day on which the document, core, cutting or sample was furnished to the Minister expires;
(b)where —
(i)a licence is in force in respect of the block; and
(ii)the document, core, cutting or sample was furnished to the Minister during the period during which any of the following were in force in respect of the block —
(A)the licence;
(B)the permit or lease that ceased to be in force in respect of the block by virtue of section 44(5) on the day on which the licence came into force,
the relevant day is the day on which the period of 12 months that commenced on the day on which the document, core, cutting or sample was furnished to the Minister expires;
(c)where the document, core, cutting or sample was furnished to the Minister during a period during which a permit, lease or licence was in force in respect of the block and —
(i)the permit, lease or licence is surrendered, cancelled or determined as to the block; or
(ii)the permit, lease or licence expires but is not renewed in respect of the block,
the relevant day is the day on which the permit, lease or licence is so surrendered, cancelled or determined or expires, as the case may be, whether another permit, lease or licence is subsequently in force in respect of the block or not;
(d)where —
(i)the document, core, cutting or sample was furnished to the Minister at a time when a permit, lease or licence was not in force in respect of the block; and
(ii)the information in the document or the core, cutting or sample was collected for the sale of information on a non‑exclusive basis,
the relevant day is the day determined by the Minister, being a day not more than 5 years after the day on which the document, core, cutting or sample was furnished to the Minister; and
(e)where —
(i)the document, core, cutting or sample was furnished to the Minister during a period during which a permit, lease or licence was not in force in respect of the block; and
(ii)subparagraph (d)(ii) does not apply,
the relevant day is the day determined by the Minister, being a day not more than 2 years after the day on which the document, core, cutting or sample was furnished to the Minister.
(5)Where —
(a)a document, core, cutting or sample referred to in subsection (1) was furnished to the Minister —
(i)during or in respect of a period during which a permit, lease or licence was in force in respect of the block; or
(ii)during or in respect of a period during which a special prospecting authority or access authority was in force in respect of the block but during which a permit, lease or licence was not in force in respect of the block;
and
(b)the permittee, lessee, licensee or holder of the special prospecting authority or access authority or, if the permit, lease, licence, special prospecting authority or access authority has ceased to be in force, the person who was the holder of the permit, lease, licence, special prospecting authority or access authority —
(i)has made publicly known any information contained in the document or has consented in writing to any of that information being made publicly known; or
(ii)has made publicly known any particulars of that core, cutting or sample or has consented in writing to any particulars of that core, cutting or sample being made publicly known or to that core, cutting or sample being made available for inspection,
the Minister, or any other Minister to whom that information, core, cutting or sample has been made available under subsection (1) may, at any time after that information has, or those particulars have, been made publicly known or after that consent has been given —
(c)make publicly known that information or, on request by another person and, if the Minister or the other Minister so requires, on payment of the prescribed fee, make that information available to that other person; or
(d)make publicly known those particulars or, on request by any other person and, if the Minister or the other Minister so requires, on payment of the prescribed fee, permit that other person to inspect that core, cutting or sample,
as the case may be.
(5a)Subject to subsection (5f), the Minister may, at any time after the end of the period of 5 years after a document to which this section applies was furnished to the Minister —
(a)make publicly known; or
(b)on request by a person and, if the Minister so requires, on payment of the prescribed fee, make available to that person,
any information contained in the document, being information that relates to the sea‑bed or subsoil, or to petroleum, in a block, and that, in the opinion of the Minister, is a conclusion drawn, in whole or in part, from, or an opinion based, in whole or in part, on, any information contained in a document to which this section applies that has been furnished to the Minister under subsection (1).
(5b)Before the Minister makes available or publicly known any information pursuant to subsection (5a), the Minister shall —
(a)cause to be published in the Gazette a notice —
(i)stating that the Minister proposes to make the information available or publicly known;
(ii)inviting interested persons to give to the Minister, by such day as is specified in the notice, being a day not earlier than 45 days after the publication of the notice, a notice objecting to the whole or any part of the information being made available or publicly known; and
(iii)stating that, if a person does not make an objection in accordance with the invitation, the person will be taken to have consented to the information being made available or publicly known;
and
(b)if it is practicable to do so, cause a copy of the notice so published in the Gazette to be served on the person who furnished the document containing the information.
(5c)There shall be set out in the notice of objection the reasons for making the objection.
(5d)A person is not entitled to make an objection to information being made available or publicly known except on the grounds that to do so would disclose —
(a)a trade secret; or
(b)any other information the disclosure of which would, or could reasonably be expected to, adversely affect the person in respect of the lawful business, commercial or financial affairs of the person.
(5e)Where a person makes an objection to the Minister in accordance with such an invitation, the Minister shall, within 45 days after the receipt of the notice of objection, consider the objection, and may either disallow it, or allow it in whole or in part, and shall cause to be served on the person written notice of the decision on the objection.
(5f)The Minister shall not make available or make publicly known any information pursuant to subsection (5a) if there is in force an objection made in relation to the information being made available or publicly known but, where such an objection is in force, nothing in this section shall be taken to preclude a further invitation under subsection (5b) being made in relation to the information.
(6)Except as provided by the preceding provisions of this section or for the purposes of the administration of this Act or the Registration Fees Act and the regulations, the Minister or any other Minister to whom any information, core, cutting or sample has been made available under subsection (1), shall not —
(a)make publicly known, or make available to any person (not being a Minister referred to in subsection (1)), any information contained in a document to which this section applies; or
(b)make publicly known any particulars of, or permit any person (not being a Minister referred to in subsection (1)) to inspect, any core, cutting or sample so referred to.
(6a)This section applies to the following documents —
(a)an application made to the Minister under this Act or a document accompanying such an application;
(b)a report, return or other document relating to a block that has been furnished to the Minister under this Act.
(7)In this section, a reference to a core, cutting or sample includes a reference to a portion of a core, cutting or sample.
(8)For the purposes of this section —
(a)cores and cuttings, and well data, logs, sample descriptions and other documents, relating to the drilling of a well, shall be deemed to have been furnished to the Minister not later than one month after the drilling of the well was, in the opinion of the Minister, substantially completed; and
(b)geophysical or geochemical data relating to geophysical or geochemical surveys shall be deemed to have been furnished to the Minister not later than one year after the geophysical or geochemical field work was, in the opinion of the Minister, substantially completed.
(8a)Subsections (2) and (5a) apply to information contained in a document to which this section applies that was furnished to the Minister before or after the commencement of section 230 of the Acts Amendment (Petroleum) Act 1990 1.
(8b)Subsection (3) applies to cores, cuttings and samples furnished to the Minister before or after the commencement of section 230 of the Acts Amendment (Petroleum) Act 1990 1.
(9)In this section a reference to a Minister of the Crown of another State includes a reference to a Minister of the Crown of the Northern Territory.
[Section 118 amended by No. 12 of 1990 s.230; No. 28 of 1994 s.110.]
(1)For the purpose of protecting a well or structure, or any equipment, in the adjacent area, the Minister may, by instrument published in the Gazette, prohibit —
(a)all vessels;
(b)all vessels other than specified vessels; or
(c)all vessels other than the vessels included in specified classes of vessels,
from entering or remaining in a specified area (in this section called a “safety zone”) surrounding the well, structure or equipment without the consent in writing of the Minister.
(2)A safety zone specified in an instrument under subsection (1) may extend to a distance of 500 metres around the well, structure or equipment specified in the instrument measured from each point of the outer edge of the well, structure or equipment.
(3)Where a vessel enters or remains in a safety zone specified in an instrument under subsection (1) in contravention of the instrument, the owner and the person in command or in charge of the vessel are each guilty of an offence against this section and are punishable, upon conviction, by a fine not exceeding $100 000 or imprisonment for a term not exceeding 10 years, or both.
120.Discovery and use of water
Where water is discovered in a permit area, a lease area or a licence area, the permittee, lessee or licensee, as the case may be, shall, within a period of one month after the date of the discovery, furnish to the Minister in writing particulars of the discovery.
Penalty: $10 000.
[Section 120 amended by No. 12 of 1990 s.231.]
(1)The Minister may, at any time, by instrument in writing served on a permittee, lessee or licensee, direct the permittee, lessee or licensee —
(a)to carry out a survey of the position of the well, structure or equipment specified in the instrument; and
(b)to furnish to him a report in writing of the survey.
(2)Where the Minister is not satisfied with a report of a survey furnished to him under subsection (1) by a permittee, lessee or licensee, he may, by instrument in writing served on the permittee, lessee or licensee, direct the permittee, lessee or licensee to furnish further information in writing in connection with the survey.
(3)A person to whom a direction is given under subsection (1) or (2) shall comply with the direction.
Penalty: $10 000.
[Section 121 amended by No. 12 of 1990 s.232.]
(1)The Minister may, by instrument in writing served on a person carrying on operations in the adjacent area under a permit, lease, licence, pipeline licence, special prospecting authority, access authority or instrument of consent under section 123, direct that person to do any one or more of the following things —
(a)to keep such accounts, records and other documents in connection with those operations as are specified in the instrument;
(b)to collect and retain such cores, cuttings and samples in connection with those operations as are so specified; and
(c)to furnish to the Minister, or to such person as is so specified, in the manner so specified, such reports, returns, other documents, cores, cuttings and samples in connection with those operations as are so specified.
(2)A person to whom a direction is given under subsection (1) shall comply with the direction.
Penalty: $10 000.
[Section 122 amended by No. 12 of 1990 s.233.]
(1)The Minister may, by instrument in writing, consent to the carrying on in the adjacent area by any person of petroleum exploration operations in the course of a scientific investigation.
(2)An instrument of consent under subsection (1) may be made subject to such conditions, if any, as are specified in the instrument.
(3)An instrument of consent in force under subsection (1) authorizes the person specified in the instrument, subject to section 124 and in accordance with the conditions, if any, to which the instrument is subject, to carry on, in the adjacent area, petroleum exploration operations so specified in the course of the scientific investigation so specified.
124.Interference with other rights
A person carrying on operations in the adjacent area under a permit, lease, licence, pipeline licence, special prospecting authority, access authority or instrument of consent under section 60(2) or (3) or section 123 shall carry on those operations in a manner that does not interfere with —
(a)navigation;
(b)fishing;
(c)the conservation of the resources of the sea and sea‑bed;
(d)any operations of another person being lawfully carried on by way of exploration for, recovery of or conveyance of a mineral, whether petroleum or not, or by way of construction or operation of a pipeline; or
(e)the enjoyment of native title rights and interests (within the meaning of the Native Title Act 1993 of the Commonwealth),
to a greater extent than is necessary for the reasonable exercise of the rights and performance of the duties of that first‑mentioned person.
Penalty: $10 000.
[Section 124 amended by No. 12 of 1990 s.234; No. 17 of 1999 s.29.]
124A.Liability for payment of compensation to native title holders
(1)If compensation is payable to native title holders for or in respect of the grant of an authorization, the person liable to pay the compensation is —
(a)if an amount is to be paid and held in trust, the applicant for the grant of, or the holder of, the authorization at the time the amount is required to be paid; or
(b)otherwise, the applicant for the grant of, or the holder of, the authorization at the time a determination of compensation is made.
(2)If, at the relevant time, there is no holder of the authorization because the authorization has been surrendered or cancelled or has expired, a reference in subsection (1) to the holder of the authorization is a reference to the holder of the authorization immediately before its surrender, cancellation or expiry.
(3)In this section —
“authorization” means a permit, lease, licence, pipeline licence, special prospecting authority or access authority;
“native title holders” has the same meaning as in the Native Title Act 1993 of the Commonwealth.
[Section 124A inserted by No. 61 of 1998 s.18.]
(1)The Minister may, by instrument in writing, appoint a public service officer within the meaning of the Public Sector Management Act 1994 to be an inspector for the purposes of this Act and the regulations.
(2)The Minister may furnish to an inspector a certificate stating that he is an inspector for the purposes of this Act and the regulations.
(3)Where the appointment of a person under this section expires or is revoked, that person shall forthwith surrender the certificate furnished to him under this section to the Minister or if the Minister, by instrument in writing served on that person, specifies another person to whom the certificate is to be surrendered, to that other person.
Penalty: $500.
[Section 125 amended by No. 32 of 1994 s.19.]
(1)For the purposes of this Act and the regulations, an inspector, at all reasonable times and on production of the certificate furnished to him under section 125 —
(a)shall have access to any part of the adjacent area and to any structure, ship, aircraft or building in that area that, in his opinion, has been, is being or is to be used in connection with petroleum exploration operations, operations for the recovery of petroleum or operations connected with the construction or operation of a pipeline in that area;
(b)may inspect and test any equipment that, in his opinion, has been, is being or is to be used in that area in connection with any of those operations; and
(c)may enter any structure, ship, aircraft, building or place in that area or in the State, in which, in his opinion, there are any documents relating to any of those operations and may inspect, take extracts from and make copies of any of those documents.
(2)A person who is the occupier or person in charge of any building, structure or place, or is the person in charge of any ship, aircraft or equipment referred to in subsection (1), shall provide an inspector with all reasonable facilities and assistance for the effective exercise of his powers under this section.
(3)A person shall not, without reasonable excuse, obstruct or hinder an inspector in the exercise of his powers under this section.
Penalty: $5 000.
(4)In this section and in section 125 “this Act” includes the Registration Fees Act.
Subject to this Act, if petroleum is recovered by a permittee, lessee or licensee in the permit area, lease area or licence area —
(a)the petroleum becomes the property of the permittee, lessee or licensee; and
(b)it is not subject to any rights of other persons (other than any person to whom the permittee, lessee or licensee transfers, assigns or otherwise disposes of the petroleum or an interest in the petroleum).
[Section 127 inserted by No. 17 of 1999 s.30.]
128.Suspension of rights conferred by permit
(1)Where the Minister is satisfied that it is necessary to do so in the public interest, he shall, by instrument in writing served on the permittee, suspend, either for a specified period or indefinitely, all or any of the rights conferred by the permit.
(2)Where any rights are suspended in accordance with subsection (1), any conditions required to be complied with in the exercise of those rights are also suspended.
(3)The Minister may, by instrument in writing served on the permittee, terminate a suspension of rights under subsection (1).
(4)Where rights conferred by a permit are suspended in accordance with subsection (1), the Minister may, by the instrument of suspension or by a later instrument in writing served on the permittee, extend the term of the permit by a period not exceeding the period of the suspension.
129.Certain payments to be made by State to Commonwealth
The Treasurer of the State shall, not later than the last day of each month of the year, pay to the Commonwealth amounts ascertained in accordance with the formula —
where —
A is the amount of royalty payable under this Act, together with the amount, if any, payable under this Act by reason of late payment of that royalty, by a permittee, lessee or licensee in respect of petroleum recovered in the adjacent area under the permit, lease or licence and received by the Minister during the preceding month;
and
B is the percentage rate at which royalty is payable under this Act by the permittee, lessee or licensee in respect of that petroleum,
and the Consolidated Fund is hereby, to the necessary extent, appropriated accordingly.
[Section 129 amended by No. 12 of 1990 s.236; No. 6 of 1993 s.11.]
130.Determination to be disregarded in certain cases
Where a determination has been made by the Minister under section 144 in relation to a well, that determination shall be disregarded in ascertaining the value of B for the purposes of section 129.
(1)Where an offence is committed by a person by reason of his failure to comply, within the period specified in a direction given to him under this Act or the regulations, with the requirements specified in the direction, the offence, for the purposes of subsection (3), shall be deemed to continue so long as any requirement specified in the direction remains undone, notwithstanding that the period has elapsed.
(2)Where an offence is committed by a person by reason of his failure to comply with a requirement made by this Act or the regulations, the offence, for the purposes of subsection (3), shall be deemed to continue so long as that failure continues, notwithstanding that any period within which the requirement was to be complied with has elapsed.
(3)Where, under subsection (1) or (2), an offence is to be deemed to continue, the person who committed the offence commits an additional offence against this Act on each day during which the offence is to be deemed to continue and is liable, upon conviction for such an additional offence, to a fine not exceeding $10 000.
132.Persons concerned in commission of offences
Without limiting section 7 of The Criminal Code, a person who by act or omission is in any way directly or indirectly knowingly concerned in the commission of any offence against this Act or the regulations shall be deemed to have committed that offence and shall be punishable accordingly.
(1)In this section “prescribed offence” means an offence against this Act the penalty in respect of which may include a term of imprisonment.
(2)Except as provided by subsection (3), a prescribed offence is triable only on indictment.
(3)A court of petty sessions may hear and determine proceedings for a prescribed offence if the court is satisfied that it is appropriate to do so, and the defendant and the prosecutor consent.
(4)Where, in accordance with subsection (3), a court of petty sessions convicts a person of a prescribed offence, the penalty that the court may impose in respect of the offence is a fine not exceeding $10 000 or imprisonment for a term not exceeding 2 years, or both.
(5)An offence against this Act other than a prescribed offence is, unless the contrary intention appears, punishable summarily.
134.Orders for forfeiture in respect of certain offences
(1)Where a person is convicted by the Supreme Court of an offence against section 19, 39 or 60 the Court may, in addition to imposing a penalty, make one or more of the following orders —
(a)an order for the forfeiture of a specified aircraft or vessel used in the commission of the offence;
(b)an order for the forfeiture of specified equipment used in the commission of the offence; and
(c)an order —
(i)for the forfeiture of specified petroleum recovered, or conveyed through a pipeline, as the case may be, in the course of the commission of the offence;
(ii)for the payment by that person to the State of an amount equal to the proceeds of the sale of specified petroleum so recovered or conveyed; or
(iii)for the payment by that person to the State of an amount equal to the value at the well‑head, assessed by the Court, of the quantity, so assessed, of petroleum so recovered or conveyed or for the payment of such part of that amount as the Court, having regard to all the circumstances, thinks fit.
(2)Where the Court is satisfied that an order made under subsection (1)(c)(i) cannot, for any reason, be enforced, the Court may, upon the application of the person by whom the proceedings were brought, set aside the order and make either of the orders referred to in subsection (1)(c)(ii) or (iii).
(3)The Court may, before making an order under this section, require notice to be given to, and hear, such persons as the Court thinks fit.
Goods in respect of which an order is made under section 134 shall be dealt with as the Attorney General directs and, pending his direction, may be detained in such custody as the Supreme Court directs.
[Section 135 amended by No. 57 of 1997 s.94.]
136.Time for bringing proceedings for offences
Proceedings in respect of an offence against this Act or the regulations may be brought at any time.
(1)All courts shall take judicial notice of the signature of a person who is, or has been, the Minister or a delegate of the Minister and of the fact that that person is, or has been, the Minister or a delegate of the Minister.
(2)In this section, “court” includes all persons authorized by the law of the State or by consent of parties to receive evidence.
(1)A document required or permitted by this Act to be served on a person other than the Minister or a corporation shall be served —
(a)by delivering the document to that person personally;
(b)by prepaying and posting the document as a letter addressed to that person at his last known place of residence or business or, if he is carrying on business at 2 or more places, at one of those places;
(c)by leaving the document at the last known place of residence of that person with some person apparently a resident of that place and apparently not less than 16 years of age; or
(d)by leaving the document at the last known place of business of that person, or if he is carrying on business at 2 or more places, at one of those places, with some person apparently in the service of that person and apparently not less than 16 years of age.
(2)A document required or permitted by this Act to be served on the Minister shall be served —
(a)by prepaying and posting the document as a letter addressed to the Minister at a place of business of the Minister; or
(b)by leaving it at a place of business of the Minister with some person apparently employed in connection with the business of the Minister and apparently not less than 16 years of age.
(3)A document required by this Act to be served upon a person, being a corporation, shall be served —
(a)by prepaying and posting the document as a letter addressed to the corporation at its last known place of business or, if it is carrying on business at 2 or more places, at one of those places; or
(b)by leaving it at that place, or at one of those places, with some person apparently in the service of the corporation and apparently not less than 16 years of age.
138A.Service of documents on 2 or more permittees, etc.
(1)Where there are 2 or more registered holders of a title or special prospecting authority, those registered holders shall, by notice in writing signed by each of them and served on the Minister, nominate one of the registered holders as being the person on whom documents relating to the title or special prospecting authority that are required or permitted by this Act to be served may be served.
(2)Subject to subsections (3) and (4), where —
(a)a document relating to a title or special prospecting authority is required or permitted by this Act to be served on the registered holder;
(b)there are 2 or more registered holders of the title or special prospecting authority; and
(c)the document is served on a person in respect of whom a nomination under subsection (1) is in force in relation to the title or special prospecting authority,
the document shall be deemed to have been served on each of those registered holders.
(3)Where —
(a)a person has been nominated under subsection (1) in relation to a title or special prospecting authority; and
(b)one of the registered holders of the title or special prospecting authority, by notice in writing served on the Minister, revokes that nomination,
that nomination ceases to be in force and the registered holders of the title or special prospecting authority shall forthwith make a fresh nomination under subsection (1) in relation to the title or special prospecting authority.
(4)Where —
(a)a person has been nominated under subsection (1) in relation to a title or special prospecting authority; and
(b)the person so nominated ceases to be one of the registered holders of the title or special prospecting authority,
that nomination ceases to be in force and, if 2 or more registered holders of the title or special prospecting authority remain, those holders shall forthwith make a fresh nomination under subsection (1) in relation to the title or special prospecting authority.
(5)In this section, “title” means a permit, lease, licence or access authority.
[Section 138A inserted by No. 12 of 1990 s.237.]
Division 7 — Fees and royalties
There is payable to the Minister by a permittee in respect of each year of the term of the permit —
(a)the prescribed minimum fee; or
(b)a fee calculated at the prescribed rate for each of the blocks to which the permit relates at the commencement of that year,
whichever is the greater.
[Section 139 amended by No. 12 of 1990 s.238.]
There is payable to the Minister by a lessee, in respect of each year of the term of the lease, a fee calculated at the prescribed rate for each of the blocks to which the lease relates at the commencement of that year.
[Section 139A inserted by No. 12 of 1990 s.239.]
There is payable to the Minister by a licensee, in respect of each year of the term of the licence, a fee calculated at the prescribed rate for each of the blocks to which the licence relates at the commencement of that year.
[Section 140 amended by No. 12 of 1990 s.240.]
There is payable to the Minister by a pipeline licensee, in respect of each year of the term of the pipeline licence, a prescribed fee in respect of each kilometre or portion of a kilometre of the length of the pipeline at the commencement of that year.
[Section 141 amended by No. 12 of 1990 s.241.]
A fee under section 139, 139A, 140 or 141 is payable within one month after —
(a)in the case of the first year of the term of the permit, lease, licence or pipeline licence, the day on which that term commenced; and
(b)in the case of a year of the term of the permit, lease, licence or pipeline licence other than the first, the anniversary of that day.
[Section 142 amended by No. 12 of 1990 s.242.]
(1)A permittee, lessee or licensee shall, subject to this Division, pay to the Minister royalty at the prescribed rate in respect of all petroleum recovered by the permittee, lessee or licensee in the permit area, lease area or licence area.
(2)Subject to the succeeding provisions of this section and the provisions of section 144, the prescribed rate in respect of petroleum recovered under a permit, lease or licence is 10% of the royalty value of the petroleum.
(3)The prescribed rate in respect of petroleum recovered under a secondary licence is the percentage determined by the Minister in pursuance of section 42(1) in respect of petroleum so recovered.
(4)Where a secondary licence is granted to the holder of a primary licence, the prescribed rate in respect of petroleum recovered under the primary licence is, as from the commencement of the next royalty period after the day from which the secondary licence has effect, the same percentage as is applicable in respect of petroleum recovered under the secondary licence.
(5)Where —
(a)a licence is granted on an application under section 47; and
(b)the instrument served on the applicant under section 49 contains a statement that the applicant will be required to pay, in respect of petroleum recovered under that licence, royalty at the rate specified in that statement,
the prescribed rate in respect of petroleum recovered under that licence is the percentage specified in that statement.
(6)Where a licence is granted on an application under section 51(1), the prescribed rate in respect of petroleum recovered under that licence is the same percentage as was applicable in respect of petroleum recovered under the original licence as defined by that subsection.
(7)The prescribed rate in respect of petroleum recovered in the licence area referred to in a licence granted by way of renewal of a licence is the percentage that would be the prescribed rate if the licence so granted were the continuation in force of the previous licence.
(8)A reference in this section or in a permit, lease or licence to royalty at the prescribed rate or royalty at the rate that is for the time being the prescribed rate shall be read as a reference to royalty at the rate that is or was the prescribed rate applicable in accordance with the provisions of this Act as in force from time to time.
[Section 143 amended by No. 12 of 1990 s.243; No. 11 of 1994 s.9.]
144.Reduction of royalty in certain cases
(1)Where the Minister is satisfied that the rate of recovery of petroleum from a well has become so reduced that, having regard to the rate or rates of royalty applicable under section 143, further recovery of petroleum from that well would be uneconomic, the Minister may, by instrument in writing determine that the royalty in respect of all or any of the petroleum recovered from that well on or after a date specified in the determination shall be at such rate (being a rate lower than the rate that would be applicable under section 143) as the Minister specifies.
(2)The prescribed rate in respect of petroleum to which a determination under subsection (1) is applicable is the rate specified in the determination.
(3)The Minister may, by instrument in writing, revoke or vary a determination under subsection (1) and the revocation or variation applies to petroleum recovered on or after such date as is specified in the instrument.
145.Royalty not payable in certain cases
(1)Royalty under this Act —
(a)is not payable in respect of petroleum that the Minister is satisfied was unavoidably lost before the quantity of that petroleum was ascertained;
(b)is not payable in respect of petroleum that is used by the permittee, lessee or licensee, as approved by the Minister, for the purposes of petroleum exploration operations or operations for the recovery of petroleum; and
(c)is not payable in respect of petroleum that, with the approval of the Minister, is flared or vented in connection with operations for the recovery of petroleum.
(2)Where petroleum that has been recovered by a permittee, lessee or licensee is, with the approval of the Minister, returned to a natural reservoir, royalty under this Act is not payable in respect of that petroleum by reason of that recovery but this subsection does not affect the liability of that or any other permittee, lessee or licensee to pay royalty in respect of petroleum that is recovered from that natural reservoir.
(3)Where petroleum that has been recovered by a permittee, lessee or licensee is, pursuant to an agreement under section 67(2)(a) of the Petroleum Act 1967, injected into a natural reservoir for the purpose of storage and subsequent recovery, royalty under this Act is not payable in respect of that petroleum by reason of the initial recovery except as provided under that agreement.
[Section 145 amended by No. 12 of 1990 s.244; No. 28 of 1994 s.111.]
(1)For the purposes of this Act (but subject to subsection (2)) the royalty value of any petroleum is its value at the well‑head as agreed or determined under section 147.
(2)If, in relation to petroleum recovered on or after 1 March 1994, the value at the well‑head of that petroleum as agreed or determined under section 147 is calculated in a way that provides for a reduction, discount, deduction or allowance to be made for federal duty that has been paid, is payable or may become payable, the royalty value of that petroleum is the sum of —
(a)its value at the well‑head as so calculated; and
(b)the amount of that reduction, discount, deduction or allowance.
(3)In subsection (2) “federal duty” means excise duty, or any other tax, duty, fee, levy or charge (except a tax, duty, fee, levy or charge of a kind excluded from this definition by the regulations) imposed by or under a law of the Commonwealth.
[Section 145A inserted by No. 11 of 1994 s.10.]
146.Ascertainment of well‑head
For the purposes of this Act, the well‑head, in relation to any petroleum, is such valve station as is agreed between the permittee, lessee or licensee and the Minister or, in default of agreement within such period as the Minister allows, is such valve station as is determined by the Minister as being that well‑head.
[Section 146 amended by No. 12 of 1990 s.245.]
For the purposes of this Act, the value at the well‑head of any petroleum is such amount as is agreed between the permittee, lessee or licensee and the Minister or, in default of agreement within such period as the Minister allows, is such amount as is determined by the Minister as being that value.
[Section 147 amended by No. 12 of 1990 s.246.]
148.Ascertainment of quantity of petroleum recovered
For the purposes of this Act, the quantity of petroleum recovered by a permittee, lessee or licensee from a well during a period shall be taken to be —
(a)the quantity measured during that period by a measuring device approved by the Minister and installed at the well‑head or at such other place as the Minister approves; or
(b)where no such measuring device is so installed, or the Minister is not satisfied that the quantity of petroleum recovered by the permittee, lessee or licensee from that well has been properly or accurately measured by such a measuring device, the quantity determined by the Minister as being the quantity recovered by the permittee, lessee or licensee from that well during that period.
[Section 148 amended by No. 12 of 1990 s.247.]
Royalty under this Act in respect of petroleum recovered during a royalty period is payable not later than the last day of the next succeeding royalty period.
(1)Where a fee or an amount of royalty under this Act is not paid under this Division at or before the time when the fee or the amount of royalty is payable there is payable to the Minister by the permittee, lessee, licensee or pipeline licensee an additional amount calculated at the rate of one‑third of 1% per day upon the amount of the fee or royalty from time to time remaining unpaid to be computed from the time when the amount became payable until it is paid.
(2)An additional amount in respect of royalty is not payable under subsection (1) in respect of any period before the expiration of 7 days after the value of the petroleum was agreed or determined under section 147.
[Section 150 amended by No. 12 of 1990 s.248.]
151.Fees, royalties and penalties debts due to the State
A fee, royalty or other amount payable under this Division is a debt due by the permittee, lessee, licensee or pipeline licensee to the State and is recoverable in a court of competent jurisdiction.
[Section 151 amended by No. 12 of 1990 s.249.]
Part IV — Regulations
(1)The Governor may make regulations not inconsistent with this Act prescribing all matters that by this Act are required or permitted to be prescribed or are necessary or convenient to be prescribed for carrying out or giving effect to this Act.
(2)In particular, but without limiting the generality of subsection (1), regulations may make provision for securing, regulating, controlling or restricting all or any of the following matters —
(a)the exploration for petroleum and the carrying on of operations and the execution of works for that purpose;
(b)the recovery of petroleum and the carrying on of operations and the execution of works for that purpose;
(c)conserving and preventing the waste of the natural resources, whether petroleum or otherwise, of the adjacent area;
(d)the construction and operation of pipelines, water lines, secondary lines, pumping stations, tank stations or valve stations and the carrying on of operations, and the execution of works, for any of those purposes;
(e)the construction, erection, maintenance, operation or use of installations or equipment;
(f)the control of the flow or discharge, and the prevention of the escape, of petroleum, water or drilling fluid, or a mixture of water or drilling fluid with petroleum or any other matter;
(g)the clean‑up or other remedying of the effects of the escape of petroleum;
(h)the prevention of damage to petroleum bearing strata in an area, whether in the adjacent area or not, in respect of which a permit, lease or licence is not in force;
(i)the keeping separate of —
(i)each petroleum pool discovered in a permit area, lease area or licence area; and
(ii)each source of water discovered in a permit area, lease area or licence area;
(j)the prevention of water or other matter from entering a petroleum pool through wells;
(k)the prevention of the waste or escape of petroleum or water from a pipeline, water line, secondary line, pumping station, tank station or valve station;
(l)the maintaining in good condition and repair of all structures, equipment and other property in the adjacent area used or intended to be used for or in connection with the exploration for or the exploitation of petroleum in the adjacent area; and
(m)the removal from the adjacent area of structures, equipment and other property brought into the adjacent area for or in connection with exploration for or the exploitation of petroleum that are not used or intended to be used in connection with exploration for, or the exploitation of, petroleum in the adjacent area.
(2a)The regulations may make provision in relation to a matter by applying, adopting or incorporating, with or without modification, a code of practice or standard contained in an instrument (including an instrument issued or made outside Australia), as in force or existing at the time when the regulations take effect or as in force or existing from time to time, being a code of practice or standard that is relevant to that matter.
(2b)Regulations under this section may prohibit the doing of an act or thing either unconditionally or subject to conditions, including conditions requiring the grant, as prescribed by the regulations, of the consent or approval of a person specified in the regulations.
(3)The regulations may prescribe, in relation to the exploration for, and the exploitation of, the natural resources (being petroleum) of the adjacent area, matters for carrying out or giving effect to the Convention.
(4)The regulations may provide that a contravention or failure to comply with a regulation constitutes an offence, and for the imposition of —
(a)a fine not exceeding $10 000; or
(b)a fine not exceeding that amount for each day on which the offence occurs,
for offences against the regulations.
[Section 152 amended by No. 12 of 1990 s.250.]
